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Wouldn't competition for those things be lower, if there are fewer people?
by FooBarBizBazz 4y ago
Wouldn't competition for those things be lower, if there are fewer people?
- lotsofpulp 4y agoAfter the population pyramid stabilizes and ratio of workers to non workers goes up again (labor participation rate). But while the labor participation rate declines, the non workers still have demand for labor/resources. This would push prices up, when compared to times that labor participation rate is higher.
- FooBarBizBazz 4y agoI guess this will push up the prices of labor-intensive things, and might reduce the prices of commodities that are capital- but not labor- intensive to extract. So robotically-mined open-pit coal will be cheap, and so will Midwestern wheat, and probably even vacation properties in scarce mountain or beach locations (making allowances for global warming). But if you want a barista to make your latte, that'll set you back $40, and if you want somebody to put a new roof on your house, God help you.