7 ms·
As a Californian I only eat out whenever I have to these days, such as while traveling, and even then it is more cost-effective to eat bologna sandwiches than t
by linguae 3y ago
As a Californian I only eat out whenever I have to these days, such as while traveling, and even then it is more cost-effective to eat bologna sandwiches than to eat fast food. The prices are outrageous, and these minimum wage hikes will prove Sisyphean since those hikes will be eaten away by even higher costs, assuming they don’t get their hours reduced or face a layoff. Then we’ll have the same discussion a few years later when the minimum wage is $25 or even $30 per hour.
To piggyback off another poster’s comments, it used to be that we traded away quality and our health in exchange for cheap, convenient, reasonably tasty food. But nowadays even a basic combo meal costs at least $10. A decent meal at a non-fast food place is easily $20-25 after tax and tip. It’s understandable; housing prices have went through the roof, supply chain disruptions during COVID led to dramatic price spikes that haven’t fully recovered, and then there’s the effects of low interest rates and stimulus spending. But it’s painful: I’ve been getting by with 2-3% annual merit increases while I’ve had to deal with double-digit annual increases in the prices of food and other necessities. I also missed out on homeownership, first with the ultra-competitive market in 2021 when I was constantly outbid, and in 2022 onward with interest rates rising while home prices remaining stubbornly high, thus pricing me out the market. But I should count myself lucky that I haven’t been laid off like so many people have. So I make do by substituting McDonald’s for Costco food court items and for makeshift sandwiches, even while traveling.
We truly need better monetary, fiscal, and housing policies. No more deficit spending (even if this means tax hikes), no more artificially-low interest rates, and much looser zoning laws. Unfortunately I’m very pessimistic with American politics. While I do see some progress being made with increased housing construction and with zoning reform, both parties are addicted to deficit spending and easy money.
- Sohcahtoa82 3y ago> The prices are outrageous, and these minimum wage hikes will prove Sisyphean since those hikes will be eaten away by even higher costs, assuming they don’t get their hours reduced or face a layoff. Then we’ll have the same discussion a few years later when the minimum wage is $25 or even $30 per hour. It's all a symptom of the absolute cancer that is real estate investing. Every $100 increase in the rent means an extra $30-50 needed in wages if you still want to maintain housing costs being 30-50% of your wage. And nearly all rent increases are just simply price gouging. You have people that are barely treading water paying their rent, and as soon as minimum wage goes up, those absolute leeches we call landlords will just suck that extra money right up via a rent increase. I just don't know what the solution is. Rent controls have a myriad of unintended consequences. Simply creating more housing doesn't necessarily work, since it all gets bought up by investors that maintain the same high rent.
- maxerickson 3y agoThe return on investment goes down if there is more housing. Especially if the demand for housing is more or less satisfied. Buying incremental new units at that point is going to mostly be cost.