3 ms·
At higher cost, less is demanded, and we tend to be loss averse. Driving up the perceived risk and thus the cost of firing bad employees unavoidably reduces the
by gbacon 9y ago
At higher cost, less is demanded, and we tend to be loss averse. Driving up the perceived risk and thus the cost of firing bad employees unavoidably reduces the supply of jobs.
No good or service is perfectly inelastic — certainly not employees.
- your-nanny 9y agoAt higher cost, less is demanded, and we tend to be loss averse. Driving up the perceived risk and thus the cost of firing bad employers unavoidably reduces the supply of labor.
- gbacon 9y agoIndeed, it’s a two-way street, and that’s a good thing! As someone who got tired of the bureaucracy and lame policies, I took my labor and started my own company. It turns out that there is a noticeable minority of entrepreneurs, freelancers, and the self-employed around these parts.