Ray From Cleveland
Diamond Member
- Aug 16, 2015
- 97,215
- 37,438
Automation will happen at $15/hour. It will happen at $10/hour. It will happen at $5/hour,
as long as automation costs less.
If the minimum wage was a buck an hour, and replacing someone with a machine cost fifty cents an hour,
that person is gone.
This is true which is why there is a tipping point. Maybe it is ten bucks an hour......maybe fifteen.. but whatever it is, once the line is crossed and it's cheaper to automate, that's when a business owner makes the decision to do so.
If the wages you currently pay end up being cheaper than the investment in automation, then you keep human workers.