US study lays bare extreme pay-ratio problem

Discussion in 'Economics & Trade' started by LafayetteBis, May 16, 2018.

  1. bringiton

    bringiton Well-Known Member

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    No point. I have already identified the fact that is more relevant than any of the theories you are so enamored with.
     
  2. Reiver

    Reiver Well-Known Member

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    You can't refer to any labour theory?
     
  3. Longshot

    Longshot Well-Known Member

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    Adam needs a particular service performed and advertises this. Bob is looking to earn some money, so he offers to perform the service. Adam and Bob agree on a price for this service.

    That's how it works.
     
    Ndividual likes this.
  4. Reiver

    Reiver Well-Known Member

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    Not even supply and demand leads to that. It's not your fault mind you. Those group thought sites, funded by the rich, haven't given you anything credible to repeat.
     
  5. Longshot

    Longshot Well-Known Member

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    I'm sorry, but that's how it actually works. Adam needs a particular service performed and advertises this. Bob is looking to earn some money, so he offers to perform the service. Adam and Bob agree on a price for this service.
     
  6. Reiver

    Reiver Well-Known Member

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    As I said, supply and demand doesn't agree with you (and there is no excuse, as this stuff goes back to the likes of Adam Smith). For example, a monopsony outcome just needs asymmetric information (with inefficiently low wages understood through job search modelling)
     
  7. Longshot

    Longshot Well-Known Member

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    Really? Here's the scenario: Adam needs a particular service performed and advertises this. Bob is looking to earn some money, so he offers to perform the service. Adam and Bob agree on a price for this service. What part does 'supply and demand' not agree with this?
     
    Last edited: Jul 18, 2018
  8. Reiver

    Reiver Well-Known Member

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    Read the last post. Already told you how your supply and demand understanding is not fit for purpose
     
  9. Longshot

    Longshot Well-Known Member

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    I've read all the posts. Here's the scenario: Adam needs a particular service performed and advertises this. Bob is looking to earn some money, so he offers to perform the service. Adam and Bob agree on a price for this service.

    This is what we in the trade call 'economics'.
     
  10. Derideo_Te

    Derideo_Te Well-Known Member

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    [​IMG]
     
  11. Longshot

    Longshot Well-Known Member

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    More non-content. What a surprise.
     
  12. Derideo_Te

    Derideo_Te Well-Known Member

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    Ironic given your vacuous posts!
     
  13. Longshot

    Longshot Well-Known Member

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    Haha, another one.
     
  14. Reiver

    Reiver Well-Known Member

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    Then you have no excuse. The law of one price is rejected in labour markets.
     
  15. Longshot

    Longshot Well-Known Member

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    So what about my scenario with Adam and Bob is incorrect, in your opinion?
     
  16. Reiver

    Reiver Well-Known Member

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    I've referred to how supply and demand works. Your obsession with Bob isn't interesting.
     
  17. Longshot

    Longshot Well-Known Member

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    Okay, so how is what I wrote wrong, in your opinion?
     
  18. Reiver

    Reiver Well-Known Member

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    Already told you. We know that underpayment is the norm (e.g. monopsonistic power created by asymmetric information)
     
  19. Longshot

    Longshot Well-Known Member

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    So the employer pays the worker less than the agreed to price? That would be grounds for legal action.
     
  20. Reiver

    Reiver Well-Known Member

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    Nope, they pay below productivity criteria (guaranteeing economic inefficiency)
     
  21. Longshot

    Longshot Well-Known Member

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    They pay the agreed upon price. Exactly what they should pay, based upon the agreement between worker and employer.
     
  22. Reiver

    Reiver Well-Known Member

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    As I said, you dont understand supply and demand. Those group think sites are to blame
     
  23. Longshot

    Longshot Well-Known Member

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    Really? What do you think I don't understand? As I have stated, a worker performs a service for an agreed-upon price. What do you consider wrong with this view?
     
  24. Reiver

    Reiver Well-Known Member

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    You keep demanding repetition. You don't understand any aspect of supply and demand. You don't know that demand is determined by productivity criteria. You don't understand that employers face an upward sloping labour supply schedule, guaranteeing economic inefficiency through underpayment.
     
  25. Longshot

    Longshot Well-Known Member

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    All supply curves are upward sloping. So?

    I don't agree with economic policies that rely upon the initiation of violence against peaceful people. Sorry.
     

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