Search results

  1. Sakal Gharelu Ustad

    Basic economy questions

    You are trying to solve excess of unskilled labour with min wage. It is not going to happen. The only solution is to move labour towards self improvement and skill development. If you give super high wage for same output it will just destroy jobs because it would be unsustainable. In farm...
  2. Sakal Gharelu Ustad

    Basic economy questions

    Then half of the bais would not have job like there are no bais in France.
  3. Sakal Gharelu Ustad

    Basic economy questions

    You don't need unions to bargain wages. You just need freedom to move from one job to another. It happens even in unorganized sector. This is the reason that simple bai now charges 1000rs for cooking food while it charged 400rs 7-8 years ago. I do not think she has any union.
  4. Sakal Gharelu Ustad

    Basic economy questions

    The only one sector and profession which is horribly managed and depends on political whims is farming. And all in the name of farmer benefit. The problem ranges from support price fixation to APMC act. No other prices are more fixed in India and no other sector suffers so much.
  5. Sakal Gharelu Ustad

    Basic economy questions

    If there is no forced labor like "bandhua majoor", some profession would take less time and others more to adjust. You are forgetting that low skilled people also change professions. I do not know which unorganized worker you are talking about. Most people have increased their wages. The...
  6. Sakal Gharelu Ustad

    Basic economy questions

    That's why even the rickshaw puller updates his wages with inflation.
  7. Sakal Gharelu Ustad

    Basic economy questions

    So you are asking people to close their minds and just sell whatever they have to you! You are asking people to not evaluate the whole project. Will you buy a piece of land today whose value will become half tomorrow? Think logically. Sadly, the world is more logical than you think.
  8. Sakal Gharelu Ustad

    Basic economy questions

    he has not joined the hopeless category yet. Hence, the politeness. Why else would I waste my time!
  9. Sakal Gharelu Ustad

    Basic economy questions

    Don't make a fool out of yourself if you cannot comprehend market forces. - You have money and you can buy F-22 and all the nuclear bombs for money. Now you can go back and bomb the shit out of US. But is this transaction useful for US? No. They can calculate the damage you will cause through...
  10. Sakal Gharelu Ustad

    Basic economy questions

    Economics is a regulated activity regulated by market forces (Adam Smith's invisible hand concept). Had govt. been so successful at setting wages, most of the socialist countries would not have gone to dump.
  11. Sakal Gharelu Ustad

    Basic economy questions

    What you are peddling is not even economics! The wages of all manual workers have kept with time without any govt. mandated minimum wage. The rickshaw pullers in Delhi now charge 20Rs for the same distance which they charged 10Rs some 7-8 years ago. This is perfectly rational as inflation has...
  12. Sakal Gharelu Ustad

    Basic economy questions

    Good reply. @Bhadra- Lets say tomorrow you increase minimum (fair or whatever you want to call) wages from 500Rs/day to 1000Rs/day for manual labor. Some people would retain it and others would get fired. Read @Mad Indian's post at the beginning of the thread about restaurant business and...
  13. Sakal Gharelu Ustad

    Basic economy questions

    Indians hoard gold before the advent of modern banking systems! It is more than 2 years since our first discussions started regarding it. Fiat money is a tool and outcomes depend on how you use it. Red: I did not say inflation is needed to support full employment- Philips curve is not true. My...
  14. Sakal Gharelu Ustad

    Basic economy questions

    That is why you have market to determine optimal level.
  15. Sakal Gharelu Ustad

    Basic economy questions

    It is difficult to see with naked eyes because changes are subtle. Most of the repetitive jobs are moving towards either being outsourced or mechanized. Bring in minimum wage and it advances this process even more by decreasing labour cost efficiency. France for example has artificially inflated...
  16. Sakal Gharelu Ustad

    Basic economy questions

    Causality is a bitch. I have not come across any studies which prove it. As far as recession goes, companies reduced a lot of loose flab and fired a lot of inefficient workers- that is why jobless recovery a major concern due to outsourcing or mechanization of routine tasks. Min wage is similar...
  17. Sakal Gharelu Ustad

    Basic economy questions

    Oouch! Min wage is a fiscal policy tool but it requires private restaurant business to foot the bill!! That is a new definition of fiscal policy.
  18. Sakal Gharelu Ustad

    Basic economy questions

    @pmaitra believes that if you suck fiat currency out of system, the world will turn green! Under gold standard, minimum wage will lead to permanent fall in employment because rate of digging gold will most probably be less than the inflation needed to support full employment. On the other...
Top