Howard Stern Show’ Quizzes Obama Supporters in Harlem on Candidate Policies

[EarnedStripes44]

[QUOTE=Bronko;628940]Please re-read the second paragraph of your post, I beg you.

If we up/inflate wages, business lose money and the only alternatives to going out of business are to layoffs or "exporting jobs." Once those products are made overseas we need to get them back into the country..... so we import them! (tariff free) because we need them!
QUOTE]

Now I'm hardly an economist and please correct me if i'm wrong but...

If businesses rase wages, they will raise prices, but they dont have to ship jobs overseas if government protections are in place. A depression not withstanding, prices will go up anyway, its just a question of how much. The market and the elasticity of demand usually decides that.

But if we impose tariffs, we increase government revenue, pay down debt and domestic producers will fill the vacuum (ie made in America, remember that!) created by imports.

Keep in mind, the unregulated healthcare system screws businesses far more than incremental wage increases (most hardworkers get raises anyway, regardless of government wage mandates). Healthcare cost are out of control not wage increases. The burden is heaviest on employers. Health care cost chased american automakers across the Detroit River to Ontario precisely because government foots the bill and they ship the cars to US dealers practically duty free.

[Bronko]

[QUOTE=EarnedStripes44;628967]

Originally Posted by Bronko

Please re-read the second paragraph of your post, I beg you.

If we up/inflate wages, business lose money and the only alternatives to going out of business are to layoffs or "exporting jobs." Once those products are made overseas we need to get them back into the country..... so we import them! (tariff free) because we need them!
QUOTE]

Now I'm hardly an economist and please correct me if i'm wrong but...

If businesses rase wages, they will raise prices, but they dont have to ship jobs overseas if government protections are in place. A depression not withstanding, prices will go up anyway, its just a question of how much. The market and the elasticity of demand usually decides that.

But if we impose tariffs, we increase government revenue, pay down debt and domestic producers will fill the vacuum (ie made in America, remember that!) created by imports.

Keep in mind, the unregulated healthcare system screws businesses far more than incremental wage increases (most hardworkers get raises anyway, regardless of government wage mandates). Healthcare cost are out of control not wage increases. The burden is heaviest on employers. Health care cost chased american automakers across the Detroit River to Ontario precisely because government foots the bill and they ship the cars to US dealers practically duty free.

I think we agree more than we disagree. (healthcare/ tariffs) There is clearly a conundrum however in regards to wage/employment/outsourcing etc.

If businesses raise prices too high to cover their wage increases, consumers will throw the old "buy american" out the window to try and get the better (albeit foreign) deal.

It's no mystery, small and large businessmen have been walking the fine line between profit an loss forever while juggling costs and liability at the same time. The margins are shrinking.

And I would NEVER claim that I am an economist. I can barely add.

[Nebe]

raising prices is not always the answer to making more money.

for example if ford was to come out with a car that gets 30 mpg, sells for under 10 grand and looks nice, I am sure they will sell 10 times as many cars as one that gets 30 mpg and is 15 grand.