Skip to comments.Paying More For Fast Food, Retail Jobs Will Boost U.S. Economy (He's serious)
Posted on 09/02/2013 5:42:35 PM PDT by 2ndDivisionVet
As a former fast-food worker, I can attest to the crazy hours, poor working conditions and rotten pay.
I boiled chicken and repeatedly burned my forearms in hot pressure cookers in high school for Colonel Sanderss KFC (now owned by YUM Brands) until I could get a higher-paying job in a department store.
The unionized retail clerks job wasnt glamorous, either, but it was a big step up: I sold sporting goods, rang a register (calculating change in my head) and hand-drilled bowling balls.
Although the pioneering retail chain (E.J. Korvettes) at the time was dying a slow death as Wal-Mart, K Mart and other mega-discount stores gained market share, it paid most of my way through the University of Illinois-Chicago in a time when one could do this (late 1970s).
Wages havent gotten much better relative to inflation in 30 years. They need to, and the myth that higher, low-end wages will hurt the economy is a slander against our economic future. Living wages are needed to support families, communities, schools and our larger economy.
President Kennedys phrase a rising tide lifts all boats has some currency in economics. Increased wages create what economist John Maynard Keynes called higher aggregate demand.(continued)
(Excerpt) Read more at forbes.com ...
Fast Food is the quintessential disposable expense.
And Kennedy achieved that through -- tax cuts, right? Just like Coolidge did, and Reagan did, right?
And how is Obama's war against business working out for y'all?
Never bothered to attend a technical school, college, or do construction? You stick with a job a chimp can do and scream about low wages? Cry me a river, A=Hole.
276 stores in 1980, 10,000 now.
UIC apparently didn’t offer any survey level econ courses when this meathead whiner attended ?
Raise the minimum wage of the fast food workers means wages for all minimum wage jobs rise too... including all the minimum wages jobs involved in the production, processing, packaging and transportation of that food to the fast food restaurant. Not to mention ALL minimum wage jobs that aren't even related to the fast food industry. Not to mention that union wages will rise also as they're contractually connected to rise if the minimum wage rises.
And the higher cost of employing those now-higher paid people WILL BE PASSED ON to the cost of everything. So your paycheck will be bigger but the cost of everything will rise proportionally. Which means you have gained nothing. Except maybe a stint in the unemployment line because employers will drop some of those now-expensive employees.
Eight Types Of Food You Love, Now Made By Robots
and theyre outsourcing the drive-thru line:
Fast-food industry tests outsourcing
In some ways, I feel sorry for the people. This rotten economy does not allow low-skill workers to move upward into expanding businesses that would be willing to take experienced workers and train them for a career in a better paying job.
Why is the broken window fallacy so hard for people to understand?
If we pay more for something, we have less to spend on something else. Paying more for fast food to pay wages to workers means someone somewhere else is earning less.
Everybody’s income is somebody else’s cost.
It is the market mechanism of supply and demand that balances all of these costs and incomes to achieve the maximum achievable level of overall prosperity.
Anything else is just political smoke and mirrors, inevitably distorting actual real measurable values and leading to lower levels of general prosperity.
The truth of the foregoing has been proven consistently throughout human history, and is especially observable in the 20th and 21st century as Progressivism achieved widespread acceptance in the world and, sadly, in America.
It is unbelievable to me that so many people are blind to observable reality.
John Maynard Keynes? Isn’t he the utterly discredited English wishful thinker?
Every fast-food restaurant would close. How would that help the economy?
I don't think it would go over well with the EBT crowd, either.
And courtesy of Odouchebag their hours are being cut. It's very depressing to watch what's going on around us.
if they double the minimum wage then they immediately double the income taxes received and as it trickles up doubles revenue to the government
This will make the 16Trillion in debt seem only like 8 trillion.
Imagine if you buy a house for 100K today and you earn 50K per year. If inflation makes your income double or triple your house payment stays the same but your income goes up.
They are going to inflate away our debt. sux for anyone holding the bag
Does he really think minimum wage needs to grow relative to inflation? Is he that naive about economics? Here's a simple thought experiment, so simple even a liberal can do it. If some is good, more is better, right? So why merely push the minimum wage to 15 an hour? Why not 45, heck, 150? Let's give those teens some real buying power, then you'll see the economy take off!
Why don't they advocate for that, don't those libs care about the kids? They don't because they are smart enough (barely) to know that such a salary for minimum wage is ridiculous. What they refuse to see is that 15 is just as outrageous, differing only marginally in degree. Minimum wage jobs are just that, a minimal employment level. They are not supposed to be a career choice. You're not supposed to be able to afford all the things you might want while working a minimum wage job. They get you by, and motivate you to do and find something better.
San Francisco-based robotics startup, Momentum Machines aims to revolutionize the fast food industry with an automated burger machine. While preparing for the launch of their new restaurant chain, they dont have to worry about potential chefs because they plan to start the worlds first smart restaurant chain where all cooking is done entirely by robots. The company proudly boasts on its product page: Our alpha machine replaces all of the hamburger line cooks in a restaurant. It does everything employees can do except better.
This is a deeply flawed statement.
First, almost nobody working for min wage pays income taxes unless they have a spouse who is making good money.
The top 10% of earners paid 71% of all income taxes.
Doubling the minimum wage would not have a significant effect on the deficit.
Technically, Kennedy was dead. It was LBJ, for some strange reason, that pushed them through.
He must have benefited more than anybody else, otherwise that sleaze wouldn't have done it just to help the country.
Not to mention that unemployment will grow because many fast food stores will go out of business since they will no longer make a profit with high-paid, employees.
Not true! You are assuming that the number of minimum wage workers will remain static, but doubling the minimum wage will result in many minimum wage workers losing their jobs and joining the unemployment line.
Enjoy your RFID chip, tax slave.
Here’s the future of automation
LOL...and the socialists are going to kill another industry.
I'll be fully Galt by then.
Then it will only be question of how long I can evade and incite b4 going out in a blaze of glory.
Won't happen. Way too many folks like fast food. This is just an SEIU circus. Will have the same effect as the much reported "occupy" movements.
Technology will eliminate a lot of these people. Who needs someone at a register when a computer can take the order and take the money?
I suspect in 10 yrs, most fast food outlets will have 2 people per shift, and most of their work will be unloading trucks and cleaning the crapper.
Pay fast food workers $125 per hour.
No justice, no peace!!
The guy is an idiot. He accepts Keynes’ arguments about multiplier effects as if they are real. He totally ignores any other real life economic reality (you know like losing hours or the job all together)
‘I boiled chicken and repeatedly burned my forearms in hot pressure cookers in high school for Colonel Sanderss KFC (now owned by YUM Brands) until I could get a higher-paying job in a department store.’
I call bs this guy has NEVER worked for Colonel. At least if you are going to lie about something you ought to pick a story that most people won’t be familiar with.
I’d hit that...with a closed fist....probably several times
And then this.
“I sold sporting goods, rang a register (calculating change in my head) and hand-drilled bowling balls.”
He calculated change in his head! A true genius.
if prices continue to rise, we'll cut back.....KFC is good, but it is so terribly over priced that buying a whole chicken at a grocery store or Costco is far more cost saving.....
and probably most people have found the value menu at McDonalds and BK....
at Arby's...buy TWO value roast beef, discard one bun, combine the meat, and you have a hearty sandwich...
Rage, rage against the machine...........
How does it help the economy if all of these fast-food restaurants double wages, then have to significantly increase food prices, then people quit eating there as much as a result of the price increase, then the restaurants are forced to close because they lose money and then they have to lay off all of their employees? Then what?
Raising wages at fast food stores beyond the dictates of the economy wlll decrease employment at those stores, wil decrease the number of such stores in existence and will increase mechanization with devices made by employees in Indonesia at those that remain in business.
You might well double the amount of taxes paid (0x0 =0) per employee but you reduce the number of employees to pay those taxes so it balances out while cutting human employment and increasing the level of more sanitary mechanical/electronic employment.
The real push behind the clamor for an increase in the minimum wage comes from unions, because federal contracts are based on the minimum wage plus. Union workers get paid more when the minimum wage rises.
And you are right. The lack of understanding of economics is astounding. These people seem to think jobs exist to give people money. No, jobs exist because someone needs work done and is willing to pay someone for his labor. It’s not a gift from the sky.
We have Sam's clubs here in Florida and we found buying chickens already cooked are cheaper than buying uncooked chickens and doing all the work yourself. We buy cooked for a good meal or cut up and freeze for a quick heat up meal for later on. Never bought KFC,after the first bucket of greasy crap.
“...then the restaurants are forced to close...”
baraq killing off more small business through the SEIU.
...”they have to lay off all their employees..”
More people dependent on our tax money, secure democrat voters.
The SEIU is the thug muscle of the dimrat party.
cloward piven at work. Overwhelm the system.
How did we survive the 60’s and 70’s when adjusted for inflation minimum wage was 35 - 40 percent hight than now?
Wage infaltion is mandatory if there is to be an inflationary reduction in the value of the $17 trillion debt.
No wage inflation, no general inflation.
I understand your point but that will not immediately happen either
It will be somewhere in the middle until inflation kicks in
I am assumuing that this will set off runaway inflation.
Then we will be paying back debt with dollars worth a lot lesst.
When minimum wage is doubled, everything else will soon double
If the minimum wage is increased, ALL wages must be increased. An employer will have to build back in the incremental steps that exist for long-term, more experienced employees - the raises that have been earned.
“The SEIU is the thug muscle of the dimrat party.”
In an H.R. staff meeting for the city where I worked I referred to the SEIU leaders as “organized crime”. Got the ol’ stink-eye from our P.C. Director.