Living wage advocates, how are restaruant owners supposed to deal with being squeezed like this?

[Broke Wave]

i bring it up because overpaying based on "IQ points" is what the threadstarter brought up. look at the first page.

I just think that if wages arent based on some economic reality which dictates workers wages be sufficient for them in a full time capacity to purchase their essentials, what should wages be tied to?

Why is Napoleon okay with 10 dollars an hour but not ok with 100? Is it because he thinks 10 is okay and 100 is too much? If its because he thinks 100 is inflationary, isnt 10 more inflationary than 7.25, and 7.25 more inflationary than 3.25? If inflation or price increases are the starting point, then it should be 10.25, but the disparities in purchasing power in different states dictate different inflation figures. And if price going up is the problem vis a vis inflation, why not advocate for price controls? It just doesnt make sense. 10.25 is the arbitrary inflation based increase which is based apon the arbitrary 7.25, which had no basis in reality even then.

 

[Broke Wave]

i bring it up because overpaying based on "IQ points" is what the threadstarter brought up. look at the first page.

I just think that if wages arent based on some economic reality which dictates workers wages be sufficient for them in a full time capacity to purchase their essentials, what should wages be tied to?

Why is Napoleon okay with 10 dollars an hour but not ok with 100? Is it because he thinks 10 is okay and 100 is too much? If its because he thinks 100 is inflationary, isnt 10 more inflationary than 7.25, and 7.25 more inflationary than 3.25? If inflation or price increases are the starting point, then it should be 10.25, but the disparities in purchasing power in different states dictate different inflation figures. And if price going up is the problem vis a vis inflation, why not advocate for price controls? It just doesnt make sense. 10.25 is the arbitrary inflation based increase which is based apon the arbitrary 7.25, which had no basis in reality even then.

 

[tmonster]

Actually if you look it up... The vast majority of research indicates that wage increases have historically not had any negative effect on net employment.

I suggest google.


Edit : did you really quote Mises.org as a source?

yes he did

 

[the cac mamba]

An 11-page thread on how "expensive" fast food is.

http://www.thecoli.com/threads/im-far-from-cheap-but-fast-food-done-got-ridiculous-iculous.348341/


franchise owners have to deal with 70% to 120% increase in labors costs but they can't raise prices without losing customers. They have slim margins and increased competition from grocery stores, who offer quick food, and lower prices at "sit-down" restaurants.

Their only options would be technological innovations to increase automation or shut-down.


What are they supposed to do?

LOWER
THE
fukkING
FRANCHISE
FEE


and no, this isnt russia. im just answering your question

 

[Camile.Bidan]

The proble with the argument that wage increases have a direct negative correlation with price increases and unemployment is not only is the research against it, its that simply from a logical perspective the inverse would have to be true.

Lowering wages will lead to lower prices and less unemployment, therfore Greeks should lower wages and everything will work out. A 0.30 cent minimum wage in greece will lower all prices and make labour very affordable.

this is a question of supply and demand. Microeconomics dictates that price floors and price ceilings distorts markets. If this is not true, then you need to discard all economics as a junk science. if its most basic models have no predictive value and no bearing on reality, It cannot be reliably referred to for anything--including the progressive go-to macro models.

 

[Camile.Bidan]

I just think that if wages arent based on some economic reality which dictates workers wages be sufficient for them in a full time capacity to purchase their essentials, what should wages be tied to?

The point where the labor supply curve intersects the firm's marginal cost curve.

resource allocations should be determined by market valuations, which are the best measures of value available. Other alternatives lead to dead weight loss and inefficiencies.

 

[tmonster]

Bootstraps come in all shapes and sizes

bro do you even boostrap?

 

[Ethnic Vagina Finder]

Do what Ace did in Paid in Full.... Lower the price as much as possible and sell twice the product.

 

[Bubba T]

LOWER
THE
fukkING
FRANCHISE
FEE


and no, this isnt russia. im just answering your question

I can't believe it took until post 94 to mention this.

Franchisors don't really care about the minimum wage increase as they aren't the ones who will be paying for it. They are still going to collect their 4% in rent, 3.5% in marketing/advertisements, and numerous fees from providing supplies (which they force franchisees to purchase) and other services. Franchising is a significant source of revenue for many big corporations and thus most of these fast food places you been in are franchised.

 

[Misanthrope]

Just changing the conversion rate doesn't address the purchasing power!

Australia is a more expensive place to live!

If we are not looking at purchasing power, then we are not serious.

Minimum wage adjusted for price level index, with the price level index coming from World Bank data.

Workbook: ICP Results - Summary Tables for the website

Do whatever the fukk you want with the data, but it's there.

 

[↓R↑LYB]

Nope just pointed out that despite you accusing someone else of pulling stats out of their ass you were the one with no idea what they were talking about.

Swavy handing out L's

 

[↓R↑LYB]

An 11-page thread on how "expensive" fast food is.

http://www.thecoli.com/threads/im-far-from-cheap-but-fast-food-done-got-ridiculous-iculous.348341/


franchise owners have to deal with 70% to 120% increase in labors costs but they can't raise prices without losing customers. They have slim margins and increased competition from grocery stores, who offer quick food, and lower prices at "sit-down" restaurants.

Their only options would be technological innovations to increase automation or shut-down.


What are they supposed to do?

From McDonald's Franchise owner site:

McDonald’s Franchise Cost / Initial Investment / Income
Most McDonald’s owner/operators have entered the corporation by purchasing an existing restaurant. To open a McDonald’s franchise, however, requires a total investment of $1.06 million-$1.9 million, with liquid capital available of $500,000. The franchise fee is $45,000.

I'm sorry but the entrepreneurs that open up these restaurants aren't struggling middle class families. You need at least a million dollars to start a franchise with $500,000 in cash sitting in an account and the average McDonalds' makes 2.5 million dollars a year.

 

[☑︎#VoteDemocrat]

Minimum wage adjusted for price level index, with the price level index coming from World Bank data.

Workbook: ICP Results - Summary Tables for the website

Do whatever the fukk you want with the data, but it's there.

The Five Eyes and France

Thats hilarious.

And the Australia is clearly most expensive to live

 

[☑︎#VoteDemocrat]

I just think that if wages arent based on some economic reality which dictates workers wages be sufficient for them in a full time capacity to purchase their essentials, what should wages be tied to?

Why is Napoleon okay with 10 dollars an hour but not ok with 100? Is it because he thinks 10 is okay and 100 is too much? If its because he thinks 100 is inflationary, isnt 10 more inflationary than 7.25, and 7.25 more inflationary than 3.25? If inflation or price increases are the starting point, then it should be 10.25, but the disparities in purchasing power in different states dictate different inflation figures. And if price going up is the problem vis a vis inflation, why not advocate for price controls? It just doesnt make sense. 10.25 is the arbitrary inflation based increase which is based apon the arbitrary 7.25, which had no basis in reality even then.

Because once you believe in an arbitrary price floor, a standard has to start somewhere.

I don't feel that $7.25 is fair, but I don't think $10 is particularly comfortable either, but its more sustainable.

Also I say these things knowing the real stats. 2% of workers make MW. Most workers also get state and local additions on to MW.

These additions affect all business decisions in terms of elevated compensation related to MW.

 

[☑︎#VoteDemocrat]

i bring it up because overpaying based on "IQ points" is what the threadstarter brought up. look at the first page.

I don't agree with that particular point, but if you're not valued by your employer based on what they think you're capable of, then what are you?