Inflation Watch - If labor costs increase for railroads, which ship supplies across the nation, the additional costs will ultimately be paid by the end consumer, right?

submitted by In-the-clouds from qu.ax

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[–]iamonlyoneman 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (12 children)

Consumers generally pay any expense incurred by a business, yes

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (11 children)

That is an over simplistic way of trying to understand a complex system. It creates the false assumption that prices are set based on costs. That is not how it works. At best an entrepreneur will look at what they can sell thier products for, how many they can sell, and compare that to costs to see if it is a viable business. But the prices they set are NOT determined by costs. They are set at whatever will get them the highest profit.

[–]iamonlyoneman 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (10 children)

So where does a company get its operating revenue?

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (9 children)

What part of over simplified don't you understand? You are simplifying to the point of absurdity. The conclusions you are drawing from your obsurdly oversimplified model are wrong. No mater how many times you repeat that same propaganda, it will always be wrong.

When setting the prices of products worker wages are not factored in. Explain why your model gets that wrong.

[–]iamonlyoneman 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (8 children)

Companies don't get their operating revenues from customers, got it.

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (7 children)

You're a shill to the very end, got it.

[–]iamonlyoneman 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (6 children)

So you have literally no way to respond to even a basic question? Neat.

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (5 children)

I did respond. Your bullshit is sophomoric. Why don't you get one of the senior fellows to help you with your propaganda.

[–]iamonlyoneman 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (4 children)

I would ask you if you can comprehend the demand of "what is one plus one" but I think it may be above you

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (3 children)

I ask you if you can comprehend that prices are set without consideration of wages and you can't answer that. You keep repeating "hur Der where money for wages come from" like an absolute retard.

[–]Canbot 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (4 children)

Shipping costs are not a function of wages. Businesses set thier prices based on market forces, always trying to maximize profit. That means that the costs are as high as the market can bear. This framing is corporate propaganda intended to sway the public into being against wage increases.

Inflation is the result of money printing. Inflation causes prices to go up. Inflation is a pay cut for all wage earners. It is only right for wages to increase along with Inflation. However, Inflation rates are heavily manipulates and lied about. The only honest way to measure inflation is to look at the cost increases to consumers. Railroad wages should go up in proportion to shipping costs. That is the only fair way to do it.

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (3 children)

Where does the money to pay wages come from?

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (2 children)

That's an overly simplistic understanding of business. If you reduce it to just wages and just consumer prices, forget the other 99%, then of course you are forced to make a lot of incorrect assumptions.

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (1 child)

You make the source of wages sound so mysterious. But you still did not answer the question.

[–]Canbot 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

You keep asking because you still don't understand what I wrote. Try re reading it.