YES? Pay Your Employees More!!!!!

[1stRambo]

Yo, then watch your Profits go down the toilet!!! You Socialist who believe Bernie Sanders? You are just uneducated!!!

"GTP"

 

[Muhammed]

Looks like someone is posting while drunk.

 

[Jomama]

Please show us how wages and sales growth are correlated. Many things in business are correlated but I'm not sure how wages up takes revenue growth down.

 

[EdwardBaiamonte]

Please show us how wages and sales growth are correlated. Many things in business are correlated but I'm not sure how wages up takes revenue growth down.

higher wages mean higher prices and lower sales revenue

 

[Jomama]

Higher prices MIGHT mean higher prices. Often not. I just picked up a new company who screwed themselves by vastly increasing pay and staffing but not pricing. Also many tech companies have a 5 year trajectory that includes paying more, charging more and growing - but that's not common in most industries.

Again to even come close to proving the OP point we would need to see facts on trends of sales, wages and prices. But even if the charts lined up it still doesnt prove causation.

 

[EdwardBaiamonte]

Higher prices MIGHT mean higher prices. .

dear, a Rolls Royce has a higher price than an apple because the cost to make a Rolls is greater. Costs get passed on. Do you understand?

 

[Jomama]

Ed, why do you come here to embarrass yourself?
- You've never priced a product
- You've never costed a product
- You've never developed a product
- You have never financed a product
- You have ZERO business experience.
- Collecting a paycheck does not qualify you for an opinion on business.

Costs do not always get passed on. As I mentioned above, I am currently running a business who did not pass along their costs. There are dozens of real examples where costs are not passed on (lost leaders, clearance sales, many venture backed tech companies, any company trying to buy market share, Amazon's first 10 years, probably every dot-com in the first bubble, etc). These are common (although your simple mind cant contemplate what is in front of your nose).

 

[EdwardBaiamonte]

Costs do not always get passed on. .

then tell us why a car always costs more than and apple, pear, or bananna!! isn't thinking fun?

 

[Jomama]

I LOVE how dumb you are in public.

Car vs. Banana pretty much sums up all your economic thinking, eh? No supply/demand concept for Special Ed.


Ed, why's the price of oil down, did the cost of recovery fall 70%?
Does a Ferrari have 5X more material and labor than a Ford?
Stradivarius use 20X more wood to make a violin?
Designer dresses vs. WalMart dresses?

 

[EdwardBaiamonte]

Car vs. Banana pretty much sums up all your economic thinking, eh? No supply/demand concept for Special Ed.

dear, you said costs don't get passed on but failed to tell us why a car always costs more than and apple, pear, or banana. What does your fear of answering the question teach you?

 

[Jomama]

Car vs. Banana pretty much sums up all your economic thinking, eh? No supply/demand concept for Special Ed.

dear, you said costs don't get passed on

No I didnt. i simply provided a few examples of where it doesn't. Of course they usually do. Return on capital demands it.

 

[EdwardBaiamonte]

Car vs. Banana pretty much sums up all your economic thinking, eh? No supply/demand concept for Special Ed.

dear, you said costs don't get passed on

No I didnt. i simply provided a few examples of where it doesn't. Of course they usually do. Return on capital demands it.

good, so then you agree that wage increases eventually and generally speaking get passed on thus reducing employment and sales revenue while driving up price.

 

[Jomama]

Yes, or the business fails from absorbing expenses.

 

[sealybobo]

Please show us how wages and sales growth are correlated. Many things in business are correlated but I'm not sure how wages up takes revenue growth down.

More money people have the more they spend. We need to figure inflation out

 

[EdwardBaiamonte]

I'm not sure how wages up takes revenue growth down.

dear, its call called supply and demand when price goes up demand goes down!! Econ 101

 

[Jomama]

Econ 101 also discusses the elasticity of demand. Check that out some time.