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Rapporter et problem med oversettelse
The reason increasing minimum wage increases prices is because it increases the cost of production, shifting the supply curve to the left and the equilibrium price upward.
But it's not so pronounced a phenomenon that it would theoretically cancel out. Increasing minimum wage is still good for those paid by it (well, those who continue to be employed, anyway) because you have other costs besides labor and because there's a slope on the supply curve.
As it is now they just strangle people to prevent competition.
Competition is needed for a healthy market.
Unbridled capitalism is fascism.
tell that to continually rising food prices... and the ridiculous housing market(at least here in canaderp)!
supply/demand only works with non-essentials...
reminds me of some old comedy bit about plungers.
you could charge almost anything for a punger, most people aren't going to reach their hand in there to unclog it.
but back to the point, if everyone is charging the same price for food, or housing, or medicine... well you kinda have to pay that don't you?
I think the capitalist ideals should be left to non-essentials... not like the market is lacking.
Not that illegal collusion would be particularly surprising.
tho there are a lot of small town monopolies, especially with grocery stores, that aren't illegal... but the town can't support 2 competing grocery stores and so there's only one and they can charge w.e they want... and those profits can prop up more competitive pricing in other ways...
also there's probably illegal collusion happening... the crooked government keeps saying they're "looking into it" >.>