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[–] dv1155 2 points 5 points (+7|-2) ago 

A 50% increase is way more than $2k. It doesnt seem like you have even a basic grasp of business or economics. A small price increase means a huge decline in sales when your competitors can pay pennies an hour for labor in China.

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

I don't need an understanding of business or economics... Just basic algebra.

10 people working 40 hours a week at 10/hour totals a payroll of 40 * 10 * 10 = $4000. A 50% increase to that is exactly $2000 a week.

For what it's worth, I actually do have a pretty good understanding of business, seeing as my two sources of income are as a small business owner and an independent contractor. And I do quite well at both.

-- edit: Ah, I see where the confusion lies. I looked back at my original comment and was mixing month/week math. You're right, it is much more than 2000 a month, as indicated in my initial reply... 4x more in fact! My comment and questions still stand. A business moving enough product or service to employ 10 ftes really should have more wiggle room in their budget than $2000 a week. As a business owner, I wouldn't DREAM of hiring a person unless my business model were successful enough that each individual hire made me a very significant profit. It seems like you're in a sector where margins are extremely tiny and production is very labor intensive, which is the exact type of business we want to see exported. Either that, or you're a pretty terrible businessman and have hired way too many people, your process is inefficient, or a million other things that could be wrong.

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[–] dv1155 0 points 1 points (+1|-0) ago 

10 people working 40 hours a week at 10/hour totals a payroll of 40 * 10 * 10 = $4000. A 50% increase to that is exactly $2000 a week.

Add in the increase to the cost of benefits, workman's comp, payroll overhead, payroll taxes and we're looking at an increase of nearly $12,000 per month. I don't know how you think business works, but we small business owners don't just have an extra hundred thousand or so a year laying around that we can throw away to satisfy the populist whims of some politician who's never run a hotdog stand.

which is the exact type of business we want to see exported.

So you admit you want to see more Americans out of work. Thanks for being honest I guess.

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[–] Hand-Banana 2 points -1 points (+1|-2) ago 

I guess your business doesn't scale. You just hired 10 people 1 day and had enough clients to cover it