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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (371591)	2/22/2008 7:48:55 AM
From: Road Walker	Read Replies (1) \| Respond to of 1576778

Its basic economics. Increase the price of something and you decrease the demand and/or increase people's incentive to work around the price increase. Which isn't to say that very modest increases necessarily have significant effects, they are more likely to have small effects at the margin (small enough to often be difficult to measure, depending on how low the minimum wage is before and after the change, and what the normal marketing clearing rate for unskilled labor would be). Not if it is a necessary commodity. Gasoline has more than doubled in price in recent years yet consumption has increased. The cost of labor is a function of supply and demand... as you say basic economics.