7 ms·

> I’d argue it’s the philosophy of owners of low-wage businesses. I fail to understand why any business should pay more than market rate for anything. I get th

by cheph 5y ago

> I’d argue it’s the philosophy of owners of low-wage businesses. I fail to understand why any business should pay more than market rate for anything. I get that you want the market rate to be higher, but I have yet to ever have encountered a business that completely disregards market rate and just blows their wad on the first employee they hire.

Clubber 5y ago
>I fail to understand why any business should pay more than market rate for anything. It seems like the market rate for labor is going up, but the businesses are failing to deal with that reality.
- cheph 5y ago
  > It seems like the market rate for labor is going up, but the businesses are failing to deal with that reality. How do you figure this? If businesses were not paying more the market rate would not be going up.
  - Clubber 5y ago
    The businesses who are crying about not being able to find labor are the ones failing to deal with reality. They either need to pay more to secure labor or fail. I believe we're currently at 5.8% unemployment for May 2021, down from around 15% during the pandemic.
    - cheph 5y ago
      > They either need to pay more to secure labor or fail. Yes. Those are the options. The .001% is really cleaning house while smaller businesses are dying. And no way Amazon is going to absorb the cost, so all of this will just end wiping out the earnings and savings of most people while nobody's purchasing power increases.
  - 2222et 5y ago
    I believe you are assuming a (quasi)equilibrium state. Perhaps it is time to abandon that assumption.
Spooky23 5y ago
I’d use gasoline as an example to clarify market forces in action. If you are willing to pay $2/gallon for gasoline in June 2021, you are likely to have difficulty operating a car. Note that does not mean there is a gasoline shortage.

7 ms·

> I’d argue it’s the philosophy of owners of low-wage businesses. I fail to understand why any business should pay more than market rate for anything. I get th

by cheph 5y ago

Clubber 5y ago
>I fail to understand why any business should pay more than market rate for anything. It seems like the market rate for labor is going up, but the businesses are failing to deal with that reality.
- cheph 5y ago
  > It seems like the market rate for labor is going up, but the businesses are failing to deal with that reality. How do you figure this? If businesses were not paying more the market rate would not be going up.
  - Clubber 5y ago
    The businesses who are crying about not being able to find labor are the ones failing to deal with reality. They either need to pay more to secure labor or fail. I believe we're currently at 5.8% unemployment for May 2021, down from around 15% during the pandemic.
    - cheph 5y ago
      > They either need to pay more to secure labor or fail. Yes. Those are the options. The .001% is really cleaning house while smaller businesses are dying. And no way Amazon is going to absorb the cost, so all of this will just end wiping out the earnings and savings of most people while nobody's purchasing power increases.
  - 2222et 5y ago
    I believe you are assuming a (quasi)equilibrium state. Perhaps it is time to abandon that assumption.
Spooky23 5y ago
I’d use gasoline as an example to clarify market forces in action. If you are willing to pay $2/gallon for gasoline in June 2021, you are likely to have difficulty operating a car. Note that does not mean there is a gasoline shortage.