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> Showing that high wages alone [1] only hurt Ford is simple math. If Ford is the only company paying high wages - yes. However, somebody needs to buy the prod
by Xylakant 13y ago
> Showing that high wages alone [1] only hurt Ford is simple math.
If Ford is the only company paying high wages - yes. However, somebody needs to buy the products and services that companies offer and the more people can afford a service, the broader the potential customer base. A high inequality concentrates a huge share of the income and capital at the upper end of the scale. However, there's only so many cars a person can buy and drive, only a limited amount of phones you'll buy, only a strictly limited amount of haircuts you'll need, not matter how high your income is. The trickle down effect that's always promoted is a myth.