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Originally posted by Superman
65 burger per hour, per Meat Inversion Technician. If their wage increased an additional ten dollars per hour and we amortize that over the 65 burgers, then each burger would need to cost another 15.38 cents. It is WAY more than possible (kinda impossible for it not to) that the employer will MAKE money doing this (assuming all other employers must also pay a living wage to their workers) by selling plenty enough burgers to offset this 15.38 cents
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Why do you assume that higher-priced goods will INCREASE sales? Burgers have positive elasticities of demand. Therefore, rising price brings lower unit sales. If you're thinking that the percentage unit sales dropoff will be less than the percentage price increase, I'd like to see some evidence that that will work.
So that theory's out, IMO. If you're thinking that sales will increase because everyone's income is up due to higher wages, well, that's not how it works. Unless you're using an alternative economic textbook?
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. In other words (and many of you who do not understand the power of government, or who choose to cover your ears will not understand), this action might LOWER the cost of the burger while increasing both revenue and profits to the employer, increase revenue to the government, decrease welfare costs and give millions of workers some needed dignity.
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Again, please explain how raising labor costs, which are a significant percentage of any "fast food" meal, will LOWER the cost of the burger. You're just not makeing sense here, Superman, and it's not because we "do not understand the power of government." I think you're having some issues with economic concepts....