Analyzing A Practical Minimum Wage

[Jackinthebox]

I showed you how earlier in the thread. You do it by getting government to hand you a grant, that or borrow till you have to file bankruptcy, then get government to bail you out. Just make a big announcement about the fact that you are paying triple the going rate for burger flipping and show your employees crying in excitement, the libs will come running with money to fund your experiment.

This isn't an experiment. This is basic economics. Market liquidity. But my businesses alone are not going to bolster a national consumer driven economy. I don't want grants and I certainly don't want to bankrupt. I want more customers coming through my door. More money in the pockets of workers means more spending. But doing that for my workers alone is not going to support my businesses, much less the rest of the national economy.

 

[Jackinthebox]

Your sales will increase from your employees buying your product.

Sure, a little bit. But workers don't spend their whole paycheck where they work. Unless they work at WalMart lol. Their increased paycheck would be distributed through a variety of spending on goods and services they could not afford without the raise. So now I need other workers from other companies also coming to spend at my businesses as well.

 

[RKMBrown]

I showed you how earlier in the thread. You do it by getting government to hand you a grant, that or borrow till you have to file bankruptcy, then get government to bail you out. Just make a big announcement about the fact that you are paying triple the going rate for burger flipping and show your employees crying in excitement, the libs will come running with money to fund your experiment.

This isn't an experiment. This is basic economics. Market liquidity. But my businesses alone are not going to bolster a national consumer driven economy. I don't want grants and I certainly don't want to bankrupt. I want more customers coming through my door. More money in the pockets of workers means more spending. But doing that for my workers alone is not going to support my businesses, much less the rest of the national economy.

I thought you wanted to know how to do it. I didn't realize when you asked how, you meant that you did not want the answer.

 

[RKMBrown]

Your sales will increase from your employees buying your product.

Sure, a little bit. But workers don't spend their whole paycheck where they work. Unless they work at WalMart lol. Their increased paycheck would be distributed through a variety of spending on goods and services they could not afford without the raise. So now I need other workers from other companies also coming to spend at my businesses as well.

You asked how your sales will increase. I did not realize you meant will increase to the point of profitability. How are we supposed to know what your business model is?

 

[Skull Pilot]

And how exactly will my sales increase enough to cover the extra cost? Does paying people more magically result in higher business revenue?

You said all things being equal that my labor cost has no effect of my prices now you say I have to increase my revenue to cover increases in labor costs.

Make up your mind.

I never said otherwise. This is what I have been saying all along. Increased payrates will translate into increased revenue, as consumers now have more money to spend. It is a well-known fact that the working class drive our consumer-based economy. The wealthy don't spend, the middle class does. More money in middle class pockets means more spending. More spending means more revenue for my businesses. This is why I see more sales around the first of the month when welfare checks come in. But instead of welfare checks, we could have consumer spending based on earned income.

You have been parroting over and over that labor costs do not effect prices.

If I raise the pay of all my employees I will have to raise prices to cover it.

If ALL businesses have to raise the price of their labor then they will have to raise prices to cover it.

It's not rocket science.

 

[Skull Pilot]

yes, the liberal will lack the IQ to know that a higher wage will mean fewer jobs and higher prices so that no net gain is possible.

Market liquidity is the only thing that creates jobs. The only thing that creates market liquidity is consumer spending. The only thing that creates consumer spending, is money in worker's pockets.

So get off your ample ass and make more money.

And you have yet to show me how I can triple my labor costs and not have to raise prices.

I am semi retired with plenty of money, because I understand a few fundamental business concepts. Like it takes money to make money. You don't have to raise prices to cover labor costs if your increased sales exceed that investment.

And how exactly will my sales increase enough to cover the extra cost? Does paying people more magically result in higher business revenue?

You said all things being equal that my labor cost has no effect of my prices now you say I have to increase my revenue to cover increases in labor costs.

Make up your mind.

Your sales will increase from your employees buying your product.

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

 

[RKMBrown]

Market liquidity is the only thing that creates jobs. The only thing that creates market liquidity is consumer spending. The only thing that creates consumer spending, is money in worker's pockets.

So get off your ample ass and make more money.

And you have yet to show me how I can triple my labor costs and not have to raise prices.

I am semi retired with plenty of money, because I understand a few fundamental business concepts. Like it takes money to make money. You don't have to raise prices to cover labor costs if your increased sales exceed that investment.

And how exactly will my sales increase enough to cover the extra cost? Does paying people more magically result in higher business revenue?

You said all things being equal that my labor cost has no effect of my prices now you say I have to increase my revenue to cover increases in labor costs.

Make up your mind.

Your sales will increase from your employees buying your product.

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

I think the question is more to the point of how do the costs affect prices, which more or less an indeterminate science.

 

[Skull Pilot]

So get off your ample ass and make more money.

And you have yet to show me how I can triple my labor costs and not have to raise prices.

I am semi retired with plenty of money, because I understand a few fundamental business concepts. Like it takes money to make money. You don't have to raise prices to cover labor costs if your increased sales exceed that investment.

And how exactly will my sales increase enough to cover the extra cost? Does paying people more magically result in higher business revenue?

You said all things being equal that my labor cost has no effect of my prices now you say I have to increase my revenue to cover increases in labor costs.

Make up your mind.

Your sales will increase from your employees buying your product.

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

I think the question is more to the point of how do the costs affect prices, which more or less an indeterminate science.

it's actually very exact.

I can tell you how much it costs me to have any one of my employees perform any service and it's related activities. i can also tell you exactly what the materials needed cost, what the equipment use costs. Add to that the cost per minute of keeping the premises heated, cooled lit etc and I can set my prices at the profit level I want.

Of course some market and area pricing competition comes into to play and some services actually are provided at a loss meaning that others must make up the difference so as to make the overall profit margin meet the desired end.

The single biggest factor in those calculations is labor cost.

 

[RKMBrown]

I am semi retired with plenty of money, because I understand a few fundamental business concepts. Like it takes money to make money. You don't have to raise prices to cover labor costs if your increased sales exceed that investment.

And how exactly will my sales increase enough to cover the extra cost? Does paying people more magically result in higher business revenue?

You said all things being equal that my labor cost has no effect of my prices now you say I have to increase my revenue to cover increases in labor costs.

Make up your mind.

Your sales will increase from your employees buying your product.

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

I think the question is more to the point of how do the costs affect prices, which more or less an indeterminate science.

it's actually very exact.

I can tell you how much it costs me to have any one of my employees perform any service and it's related activities. i can also tell you exactly what the materials needed cost, what the equipment use costs. Add to that the cost per minute of keeping the premises heated, cooled lit etc and I can set my prices at the profit level I want.

Of course some market and area pricing competition comes into to play and some services actually are provided at a loss meaning that others must make up the difference so as to make the overall profit margin meet the desired end.

The single biggest factor in those calculations is labor cost.

Your employees are not robots. Nor are your customers, correct? How do you associate, or in your case disassociate rate of pay with production of workers, and customer satisfaction?

Some people will be more productive with a higher rate of pay, they might also dress nicer and be nicer to customers, thus increasing customer sat. That said other people will be less productive with a higher rate of pay.. it sort of depends how the rate of pay is distributed and accepted.

 

[EdwardBaiamonte]

. More money in the pockets of workers means more spending.

no dear. You see, money comes from somewhere. So more money in workers pockets means less in someone else's so net gain in spending is possible.

more real spending comes only from the Republican supply of new inventions. That is how we got from the stone age to here, not with liberal soviet wage/price fixing.

 

[RKMBrown]

. More money in the pockets of workers means more spending.

no dear. You see, money comes from somewhere. So more money in workers pockets means less in someone else's so net gain in spending is possible.

more real spending comes only from the Republican supply of new inventions. That is how we got from the stone age to here, not with liberal soviet wage/price fixing.

I have inventions (hundreds)... but I'm not republican, I'm libertarian.

 

[EdwardBaiamonte]

. More money in the pockets of workers means more spending.

no dear. You see, money comes from somewhere. So more money in workers pockets means less in someone else's so net gain in spending is possible.

more real spending comes only from the Republican supply of new inventions. That is how we got from the stone age to here, not with liberal soviet wage/price fixing.

I have inventions (hundreds)... but I'm not republican, I'm libertarian.

No difference really which is why Ted Cruz Ron Paul Rand Paul Mike Lee etc etc are Republicans.

 

[RKMBrown]

. More money in the pockets of workers means more spending.

no dear. You see, money comes from somewhere. So more money in workers pockets means less in someone else's so net gain in spending is possible.

more real spending comes only from the Republican supply of new inventions. That is how we got from the stone age to here, not with liberal soviet wage/price fixing.

I have inventions (hundreds)... but I'm not republican, I'm libertarian.

No difference really which is why Ted Cruz Ron Paul Rand Paul Mike Lee etc etc are Republicans.

Cruz is not even remotely libertarian... guy is an authoritarian.

 

[EdwardBaiamonte]

. More money in the pockets of workers means more spending.

no dear. You see, money comes from somewhere. So more money in workers pockets means less in someone else's so net gain in spending is possible.

more real spending comes only from the Republican supply of new inventions. That is how we got from the stone age to here, not with liberal soviet wage/price fixing.

I have inventions (hundreds)... but I'm not republican, I'm libertarian.

No difference really which is why Ted Cruz Ron Paul Rand Paul Mike Lee etc etc are Republicans.

Cruz is not even remotely libertarian... guy is an authoritarian.

so??? Ron and Rand are and so is Grover.

 

[Jackinthebox]

You have been parroting over and over that labor costs do not effect prices.

If I raise the pay of all my employees I will have to raise prices to cover it.

If ALL businesses have to raise the price of their labor then they will have to raise prices to cover it.

It's not rocket science.

Well clearly you are too stupid to understand. I am not explaining it to you again.

 

[Jackinthebox]

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

The consumer doesn't give two shits what your bills and costs are. They will only pay market value for a product, if even that at this point, since so many people can't even afford to pay market value in the first place anymore.

It makes no difference if you pay $2 an hour or $10 an hour. Your Applebees burger is still only worth $9.99

 

[EdwardBaiamonte]

You have been parroting over and over that labor costs do not effect prices.

If I raise the pay of all my employees I will have to raise prices to cover it.

If ALL businesses have to raise the price of their labor then they will have to raise prices to cover it.

It's not rocket science.

Well clearly you are too stupid to understand. I am not explaining it to you again.

Jack thinks all of our businesses are moving to China for the nice weather, not the low wages.

 

[Jackinthebox]

Jack thinks all of our businesses are moving to China for the nice weather, not the low wages.

So in other words we need communism to save capitalism. Brilliant. But that is what is happening here after all, with companies exploiting welfare labor. It's only a matter of time before ALL workers are on welfare and we have your Chinese utopia right here in the US.

 

[EdwardBaiamonte]

Not enough to cover a tripling in their salaries.

Jack don't know shit in the box says my labor costs have no bearing on the prices of my products and services.

You can't have it both ways. Either labor costs effect prices or they don't.

The consumer doesn't give two shits what your bills and costs are. They will only pay market value for a product, if even that at this point, since so many people can't even afford to pay market value in the first place anymore.

It makes no difference if you pay $2 an hour or $10 an hour. Your Applebees burger is still only worth $9.99

Dear, Applebees is struggling to survive every penny counts.

 

[EdwardBaiamonte]

Jack thinks all of our businesses are moving to China for the nice weather, not the low wages.

So in other words we need communism to save capitalism. Brilliant. But that is what is happening here after all, with companies exploiting welfare labor. It's only a matter of time before ALL workers are on welfare and we have your Chinese utopia right here in the US.

dear, a liberal is always stupid and wrong. In China they spend far less of GDP % on social safety net so have more socialism than we do.