Even more important I think is his comments regarding Table 7: -- Total Costs Relative to Sales of Albuquerque Firms
In Table 7, we present data showing the estimated total cost increase of $40 million broken down as a proportion of the total sales of the covered Albuquerque firms. In the first row, we show the average cost/sales ratio for all industries in our sample.5 As we see, this overall cost/sales ratio is 0.19 percent. In other words, roughly speaking, the average firm in Albuquerque would have to increase its sales revenue by only about 1/5 of one percent in order to fully cover the additional costs resulting from the minimum wage proposal. -- Unfortunately its only one promising study from one location, and so suffers from the faults of any case study. To really have an impact the study needs to be replicated in different locations under similar circumstances. larry On 10/3/05, Dana <[EMAIL PROTECTED]> wrote: > found a study that sheds some actual light. This guy thinks that cost > increases will be mostl in the restaurant industry and will amount to about > 2%. > "Overall then, raising prices and productivity by a relatively small amount > are likely to be the predominant means through which most affected firms > will absorb their increased costs. In such cases, the gains of living wage > ordinances to low-wage workers and their families will be larger than the > costs of the ordinance that would be borne by either businesses or the > consumers facing small price increases. To put this another way: a > well-designed living wage ordinance has the characteristic that its benefits > will be concentrated among low-wage workers and their families while the > costs can be broadly diffused among the affected firms and their consumers." > > > http://www.umass.edu/peri/pdfs/WP103.pdf > > > On 10/3/05, Larry C. Lyons <[EMAIL PROTECTED]> wrote: > > > > Single cases don't make a trend Gruss. Unless you can show that those > > particular success stories are common - ie find some fairly hard stats > > about welfare reform that strongly support your points, they are > > simply anectdotes on par with those stories that begin "A cousin of my > > friend's brother in law..." > > > > larry > > > > On 10/3/05, Gruss Gott <[EMAIL PROTECTED]> wrote: > > > > Dana wrote: > > > > To repeat my point - we have a minimum wage, get over it. It may as > > well be > > > > realistic. > > > > > > > > > > It's been a great debate and I'll appreciate the updates. > > > > > > While I understand there's a MW, it's not a good solution these days. > > > Maybe even as short as 10 years ago it was, but now that the economy > > > is entering new territory it's an anachronism. (Kinda like Unions) > > > > > > I feel sorry for those that accept it, not because they're mostly near > > > or below the poverty line, but because accepting the subsidy is a > > > hopeless act that will doom them to the same fate as those that > > > accepted Welfare. > > > > > > When Mr. Clinton did away with Welfare as we knew it, all kinds of > > > success stories popped up: people started new business, embarked on > > > real careers, and just generally moved on with their life. > > > > > > I know one woman who went back to college after working her day > > > shift. She couldn't afford to pay someone to look after her child, so > > > she brought her with. Now she's a VP of one of the world's largest > > > health care companies. Her daughter just graduated from one of the > > > World's top MBA schools and works at the same company. > > > > > > Minimum wage denies these opportunities to its recipients; it's > > > essentially an abusive policy as it ghettoizes its recipients. I > > > think government can do better. > > > > > > > > > > > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Find out how CFTicket can increase your company's customer support efficiency by 100% http://www.houseoffusion.com/banners/view.cfm?bannerid=49 Message: http://www.houseoffusion.com/lists.cfm/link=i:5:175691 Archives: http://www.houseoffusion.com/cf_lists/threads.cfm/5 Subscription: http://www.houseoffusion.com/lists.cfm/link=s:5 Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=11502.10531.5 Donations & Support: http://www.houseoffusion.com/tiny.cfm/54
