"A reduction in the share of workers can lead to labor shortages, which may raise the bargaining power of employees and lift wages — all of which is ultimately inflationary,” Simona Paravani-Mellinghoff, managing director at BlackRock, wrote in an analysis last year.
And while net immigration has helped offset demographic problems facing rich countries in the past, the shrinking population is now a global phenomenon. “This is critical because it implies advanced economies may start to struggle to ‘import’ labour from such places either via migration or sourcing goods,” wrote Paravani-Mellinghoff.
This is just mask-off capitalism. They want people to have a lot of babies, and/or large numbers of poor and desperate people migrating into the country, so that they have a constant, reliable source of cheap labor.
Paying workers more is inflationary, but raising the cost of goods because you control the supply chain is “business”
Basically, raising product costs to cover increased labour costs are bad because actual workers are getting that money instead of the wealthy capital class.
I wish people understood boycotting more. Sure 6 companies own everything, but remember when the cost of a barrel of oil went significantly negative because people weren’t driving for 2 weeks?
If people collectively decided they didn’t want to buy anything but the absolute necessary staples for a few months there would be an absolute catastrophe in the supply chain and they’d be forced to lower prices significantly.
They may not lower prices forever, but modern business is built entirely on supply chain logistics. If people stop buying anything, or buy things exclusively to return them we would see some serious changes
I’ve tried to convince people that if we can have a No Nut November, we ought to be able to put together a No-Sales September or something. These mentally defective executives would absolutely go back to taking care of the customer if this were a practice.
We should definitely do November for it - holiday shopping and Black Friday specifically.
Hell, if we could just boycott Black Friday and the week before and after, which is the biggest retail spend of the year, we’d probably make a serious dent. They aren’t even good deals, but good luck convincing anyone to skip it who doesn’t already.
You know what slows down inflation? An upper limit on the cost of goods. But hey im just a filthy commie.
It didn’t, not in the US, not in Soviet Union
In the Soviet Union it caused rationing instead. Here’s your coupon for 1 stick of butter
Sure buddy those are the only two countries that have existed in the world. So can’t work anywhere.
I’d like to put Simona’s mind at ease because economics research into the relationship between wages and productivity shows a casual link where higher wages increase productivity. That is, higher wages force firms to invest in technology, equipment and training in order to offset the increased labor cost.
