I legitimately don’t understand why this is such a hard concept to grasp. I’d gladly buy your $thing if I could afford it
Comment on Strikes aren’t bad for the US economy. They’re the best thing that could happen
Semi-Hemi-Demigod@kbin.social 2 years ago
Seems to me that if we have an economy based on consumer spending, giving consumers more money to spend would be a good thing.
algorithmae@lemmy.one 2 years ago
4am@lemm.ee 2 years ago
Because the way they see it, you’d have to take their money through wages in order to afford stuff. If their only liquidity is through perpetually revolving loans against the equity they hold, then their only job is to make that equity ever increase. The less those companies pay, the higher the profit. The higher the profit, the greater the dividends. They greater the dividends, the higher the stock price. The higher the stock price, the larger the valuation. Ever increasing valuation = perpetual revolving borrowing patterns = cheat code for unlimited money.
But if it ever falls apart they’ll be on the hook for a loan so big they might not be able to pay it back if they liquidate everything. So they MUST win at all costs. This is the deal with the devil. Ultimate power, but you must keep the plates spinning. One wrong move and you are collected.
HawlSera@lemm.ee 2 years ago
A friend of mine had this saying, that if you know someone who is greedy, you don’t really know someone who is greedy you know someone who is stupid.
If your company encourages a strong well paid Workforce that can afford to take their earnings and invest it back into the company, then you’re going to be doing all right for yourself. But if you continuously try to squeeze blood from a Stone, everyone is going to hate you for it and no one is going to be able to afford your product.
Like seriously these businessmen need to look up Henry ford, and how he couldn’t sell cars, he asked his employees why they weren’t buying cars, when they told him that they couldn’t afford cars he gave them raises and told them to buy cars. This actually worked because a consumer based economy can only work if the consumers can afford to consume.
ChonkyOwlbear@lemmy.world 2 years ago
Unfortunately it’s a myth that Ford treated his employees well. Yes, he greatly raised pay, but that was to reduce employee turnover. For example, in 1913 Ford hired 52,000 people to keep a workforce of 14,000. Ford literally had his own secret police who would monitor employees and beat ones who were caught slacking. On top of that, the increase in pay was about half a bonus for meeting “character requirements” enforced by the Socialization Organization.
This was a committee that would visit the employees’ homes to ensure that they were doing things the “American way.” They were supposed to avoid social ills such as gambling and drinking. They were to learn English, and many (primarily the recent immigrants) had to attend classes to become “Americanized.” Women were not eligible for the bonus unless they were single and supporting the family. Also, men were not eligible if their wives worked outside the home.
HawlSera@lemm.ee 2 years ago
Jesus Christ
Semi-Hemi-Demigod@kbin.social 2 years ago
Now take that to the extreme and make it a worker-owned company, where everyone has a vested interest in the company succeeding and control over company decisions.
HawlSera@lemm.ee 2 years ago
I will drink to that
rebul@kbin.social 2 years ago
Heck yeah! And of course, the companies will just eat that loss and not increase their products' price to cover higher wages.
Semi-Hemi-Demigod@kbin.social 2 years ago
They've increased costs without covering wages so that would be a refreshing change.
HawlSera@lemm.ee 2 years ago
Eventually the system is going to come to a screeching halt
NaibofTabr@infosec.pub 2 years ago
No no, see once the most super-rich person collects all the money they win the game, and then we all get to quit.
Chetzemoka@kbin.social 2 years ago
If by "quitting" you mean we all die, I think you just might be right.
NaibofTabr@infosec.pub 2 years ago
New Game+ ?
HawlSera@lemm.ee 2 years ago
This is why I pray for there to be an afterlife, I would just love to sit in a Celestial break room sipping tea with a long dead friend with whom I’ve been reunited, and just thank God that it’s all over.
Chetzemoka@kbin.social 2 years ago
We'll get there in our time, friend.
sik0fewl@kbin.social 2 years ago
Can I quit right now?
jaybone@lemmy.world 2 years ago
But before that we fight each other in a lawless starvation hellscape.