3 ms·
> If an employer can make $15 an hour per marginal employee, then that employer will not pay more than $15 an hour, regardless of what employees demand. If a c
by beojan 8y ago
> If an employer can make $15 an hour per marginal employee, then that employer will not pay more than $15 an hour, regardless of what employees demand.
If a company needs 10 employees, then it will hire 10 employees at whatever cost, or stop operating. If it can only hire those employees at $100 an hour, then it will have to set its prices so that it makes at least $100 / employee-hour. And if it can't, it will operate at a loss or stop operating.