Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

Paying people >MPL doesn't work. The math just doesn't work.

You can't hire people and pay them less than their output.

If you tax Amazon more because they hire low skilled workers then the MPL of each low skill worker decrease. Does that increase or decrease the incentive to hire these people? what happens to the price of labor when demand drops?

If your options are pay a worker more than they produce or pay a similar amount in tax, aggregate wages will go down, not up.



Consider applying for YC's Fall 2026 batch! Applications are open till July 27.

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: