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Suffice to say I disagree. Higher wages only inflate consumer prices when they are across the board without a corresponding productivity (wealth) increase. Hig
by 1123581321 6y ago
Suffice to say I disagree. Higher wages only inflate consumer prices when they are across the board without a corresponding productivity (wealth) increase.
Higher wages from one company force the others to compete, and attracts workers from other fields or unemployment, so has two contrasting effects, as what was formerly a general labor pool splits into a more highly trained group, that retains or increases its pay, and a lower paid group due to the influx of applicants.
Amazon retail, considered as a whole, is not a loss leader. The nature of its business adds a peculiar wrinkle to this because its growth pushes consumer prices down further than other wage-raising businesses would, even if they were in fact paying excess wages for no reason indefinitely.