Why should profits and wages be connected?

[Jomama]

As a citizen I get why we want them to be connected. As a business owner, I'm not sure I give a shit.

 

[Supposn]

As a citizen I get why we want them to be connected. As a business owner, I'm not sure I give a shit.

Jomama, they're rarely, (if ever) actually related.
What's objectionable are laws, regulations, or tax policies more favorable to employers and/or the more wealthy, which consequentially are effectively less favorable to others.

Respectfully, Supposn

 

[EdwardBaiamonte]

As a citizen I get why we want them to be connected. As a business owner, I'm not sure I give a shit.

Republican capitalism forces them to be connected. The more profit you make the more you are able to pay workers and the more you have to pay them to keep the best ones from jumping ship to work for the competition.

 

[Jomama]

. Republican capitalism forces them to be connected.

So like in 2000 - 2008 when Bush was in charge? Like when the graph shows the complete opposite?

 

[EdwardBaiamonte]

. Republican capitalism forces them to be connected.

So like in 2000 - 2008 when Bush was in charge? Like when the graph shows the complete opposite?

graph shows what happens when China comes on stream with 5 times our population and liberal govt pushes our jobs there with idiotic liberal policies. Do you understand?

 

[DGS49]

The more interesting and related question is, why should wages be tied to productivity? Superficially, it seems that they should, but increased productivity rarely has any basis in people working harder. Almost always, it is better management, better equipment, or technological innovation.

Of course, better productivity should also result in higher profits. Should the Enterprise Owner share them? Not an easy question.

 

[EdwardBaiamonte]

Of course, better productivity should also result in higher profits. Should the Enterprise Owner share them? Not an easy question.

very easy actually. Owner has to share growing profits or another employer will and attract all the best workers. This is why wages and standards of living go up not down. Its perhaps the most fundamental aspect of capitalism.

 

[EdwardBaiamonte]

. Republican capitalism forces them to be connected.

So like in 2000 - 2008 when Bush was in charge? Like when the graph shows the complete opposite?

graph shows an anomaly because idiotic liberal policies were driving jobs to China. Make sense now?

 

[Supposn]

Of course, better productivity should also result in higher profits. Should the Enterprise Owner share them? Not an easy question.

very easy actually. Owner has to share growing profits or another employer will and attract all the best workers. This is why wages and standards of living go up not down. Its perhaps the most fundamental aspect of capitalism.

DGS49 & EdwardBaiamonte, wages are affected by a number of factors.
Employers' lacking profits certainly will hider wage increases, but employers do not altruistically increase wages simply due to their having received increased profits.
Employers will competitively bid in labor markets, or refrain from increasing their bids when they need not be concerned with competing bidders or the labor market's supply exceeds their needs.
Employers hire if they perceive a benefit from doing so, or perceive a detriment if they do not do so.
Purchasing powers of wages can be, and often are stagnant or are reduced.

Respectfully, Supposn

 

[Jomama]

Always with the anomalies.

"It's an absolute fact because it happened twice in history, except for the anomaly which happened in between".

 

[EdwardBaiamonte]

Purchasing powers of wages can be, and often are stagnant or are reduced.

Totally wrong of course real wages always go up as Republicans invent or supply new things. This is why wages are not what they were in the stone age. New inventions means greater productivity, more profit and higher wages. Econ 101 class one, day one!

 

[Supposn]

Purchasing powers of wages can be, and often are stagnant or are reduced.

Totally wrong of course real wages always go up as Republicans invent or supply new things. This is why wages are not what they were in the stone age. New inventions means greater productivity, more profit and higher wages. Econ 101 class one, day one!

Edward Baiamonte, aka James972, I suppose you understand that the "real" value of the U.S. dollar and the purchasing power of the U.S. dollar are the same thing.
The purchasing power of wages didn't always go up during Republican presidents' administrations. If real wages (in your opinion) "MUST go up", some Republican administrations MUST have done somethings terribly wrong.

Respectfully, Supposn

 

[EdwardBaiamonte]

Purchasing powers of wages can be, and often are stagnant or are reduced.

Totally wrong of course real wages always go up as Republicans invent or supply new things. This is why wages are not what they were in the stone age. New inventions means greater productivity, more profit and higher wages. Econ 101 class one, day one!

Edward Baiamonte, aka James972, I suppose you understand that the "real" value of the U.S. dollar and the purchasing power of the U.S. dollar are the same thing.
The purchasing power of wages didn't always go up during Republican presidents' administrations. If real wages (in your opinion) "MUST go up", some Republican administrations MUST have done somethings terribly wrong.

Respectfully, Supposn

the Republican supply of new inventions causes greater productivity which in turn causes higher wages. So what is some Republicans admins. did some wrong stuff? Did someone deny it? Stick to the subject!!

 

[Supposn]

Purchasing powers of wages can be, and often are stagnant or are reduced.

Totally wrong of course real wages always go up as Republicans invent or supply new things. ...

the Republican supply of new inventions causes greater productivity which in turn causes higher wages. So what is some Republicans admins. did some wrong stuff? Did someone deny it? Stick to the subject!!

EdwardBaiamonte aka James972, I was “sticking to the subject”, but I became distracted when the responding post to my stating, purchasing powers of wages can be, and often are stagnant or are reduced, was “Totally wrong of course real wages always go up as Republicans invent or supply new things”. the poster’s obviously a chauvinist.

Now I’m not unaccustomed to having my statements being labeled as false. I or you could be incorrect, (and in this case I’m certain you're incorrect). But you use the term “Republicans” in a very chauvinistic manner. Such a blatant display of ignorance and prejudice seemed to call for immediate response.

Respectfully, Supposn

Excerpted from Definition of PREJUDICE

“(C) an irrational attitude of hostility directed against an individual, a group, a race, or their supposed characteristics”.