You are viewing a single comment's thread.

view the rest of the comments →

9
38

[–] Beowolve 9 points 38 points (+47|-9) ago 

Yes you are right. That is what happens. It isn't a permanent solution, just a bandaid on a bigger set of problems.

0
12

[–] tothetop 0 points 12 points (+12|-0) ago 

Do you have any evidence to support this? I feel like this gets thrown around but I haven't seen any evidence to support it.

0
1

[–] gatoshello 0 points 1 points (+1|-0) ago 

5
-4

[–] atheist101 5 points -4 points (+1|-5) ago 

His evidence is his ass

3
10

[–] josemon 3 points 10 points (+13|-3) ago  (edited ago)

Yes and no. It depends on the business. A corporation like McDonald can afford it easy without rising their prices. They just pay less to make more profit. The rest, yeah somewhat. But more people will be able to afford more as well.People with a lot of money will be able to afford higher prices. In the end it is them that will suffer the most, having their money mean less compared to the average and they are the ones that will resist this the most. I think it's not a bad idea because of the amount of money the Feds have printed has already diluted the economy a lot, and the value of the dollar should reflect this, but doesn't. If they don't inflate eventually it will blow up, just like in Argentina (they were keeping the value of their peso at 1 USD but this did not reflect what was truly going on with their economy, only an illusion)

1
7

[–] Splatter1842 1 points 7 points (+8|-1) ago 

Except your idea of MacDonalds just absorbing the cost of an increase in minimum wage is simply not true, at least for Canada that is. Look at the minimum wage increase in Ontario of 2014, where shortly after the increase, there was also an increase in the pricing at MacDonalds. And although I'll concede in saying that the two were not directly proportional, there was still an increase of, if memory serves correctly, roughly 7 cents (CND).

0
4

[–] Cybersoldier8 0 points 4 points (+4|-0) ago 

You think the Mac shack is gonna just let their profit margin fall to pay their workers more out of the goodness of their hearts? Not a chance, those stock holders need to see rising profits every quarter.

0
2

[–] Karnivor 0 points 2 points (+2|-0) ago 

McDonald's closed 750 locations this year... I doubt that they can afford it...

0
0

[–] derrick81787 0 points 0 points (+0|-0) ago  (edited ago)

Many McDonald's (all in my area) are not corporate owned but are actually franchises owned by an independent small business owner who typically leaves in the same town (or nearby) that the McDonald's is in. I doubt that those people have the huge corporate profits that I keep hearing about.

0
0

[–] Repetitivemotion 0 points 0 points (+0|-0) ago 

it's not a solution to all of our problems, clearly. But people are already working 60 hours a week and still barely paying their bills. Most companies will only have to raise prices by a quarter or two to afford the labor costs. Most people will actually be able to go out and buy products and services, increasing businesses cash flow. And if it was such an easy win as /u/Hobnobs said, then why is it such a hotly debated topic. Seems kind of the opposite.