03-04-2019, 12:31 PM
The "rising prices" is not as big of a deal as some claim. Only a small portion of a big Macs cost is labor, and an increase in minimum wage would only be a small percentage of the labor cost.
A crew of five at a McDonalds being paid an extra two dollars an hour would only amount to $10 spread over several hundred dollars of sales. So a Big Mac would go up a few pennies.
A field laborer will pick hundreds of pounds of tomatoes in an hour. So paying him a few more dollars an hour will only add a few pennies to the cost of tomatoes.
And no business can claim it puts them at a competitive disadvantage i.e. "drive them out of business" because the same loabor costs will apply to their competitors also.
A crew of five at a McDonalds being paid an extra two dollars an hour would only amount to $10 spread over several hundred dollars of sales. So a Big Mac would go up a few pennies.
A field laborer will pick hundreds of pounds of tomatoes in an hour. So paying him a few more dollars an hour will only add a few pennies to the cost of tomatoes.
And no business can claim it puts them at a competitive disadvantage i.e. "drive them out of business" because the same loabor costs will apply to their competitors also.
