Comment by dnautics
9 years ago
And that mechanism doesn't work, unless their salaries don't keep up with inflation. Notably, this relationship is asymmetric, since there is no corresponding way to increase labor wages without giving a pay raise.
9 years ago
And that mechanism doesn't work, unless their salaries don't keep up with inflation. Notably, this relationship is asymmetric, since there is no corresponding way to increase labor wages without giving a pay raise.
Salaries can grow faster than inflation at other times, keeping them aligned over the long term.
you've never been poor, have you?