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If everyone has to raise the minimum wage all, everyone has to raise prices accordingly and ROI remains the same.
by rbg246 6y ago
If everyone has to raise the minimum wage all, everyone has to raise prices accordingly and ROI remains the same.
- linspace 6y agoIf that were true there would be no resistance to raising the minimum wage. The truth is that it redistributes wealth.
- rbg246 6y agoWhat's wrong with redistribution? You make it sound like a sin. The last forty years has been redistributing profits from labour to capital. There is nothing at all wrong with reversing that.
- FranzFerdiNaN 6y agoThis is not how it works, but it is one of many lies spread to help prevent raising minimum wage.
- rbg246 6y agoDo you care to expand, your reply hasn't given me any insight into the exception you have made to my comment.
- gridlockd 6y agoYou disregard the option of simply not doing business. If products and services become more expensive, demand tends to go down, so you end up at square one in terms of income. There is some wiggle room here and not all prices are elastic like that, but it's true in principle.
- rbg246 6y agoCorrect, so businesses that rely on exploiting minimum wage earners go out of business. Society needs to find a way to have people gainfully employed keeping the minimum wage at poverty levels is not a good choice.