Elevated unemployment will always be with us now.

Discussion in 'Economics' started by noob_trad3r, Jul 6, 2012.

  1. I have a friend in Houston, she just finished school to be a teacher. can not find a job so she is working in Marshalls store making $7.25/hr

    For that job alone, she contacted probably 30-40 stores everyday for a month. She said she sent more than 500 resumes in Houston for any kind of job she might be qualified. These jobs are paying around $10/hr yet there is not even received one phone call.

    so I am confused how illegals are making a living here. It does not make sense at all
     
    #21     Jul 9, 2012
  2. Mayhem

    Mayhem

    Illegals who get paid $10/hour cost their employers $10/hour and not a cent more.

    Americans who get paid $10/hour cost their employers $20+/hour because of matching tax obligations, recording keeping requirements, regulations like OSHA, insurance and workman's compensation requirements, paid vacations and holidays, overtime pay requirements, paperwork and reporting requirements, lawsuits, the insurance employers must carry to defend against lawsuits, and the HR departments that must be maintained to conduct things like sensitivity training and minority encouragement programs.
     
    #22     Jul 9, 2012
  3. achilles28

    achilles28

    I clearly addressed two scenarios:

    1) the natural technological progression of mankind (electricity, car, computer etc), and it's impact on employment/wealth.
    2) the "end game" of technology, the introduction of AI, the end of labor, and it's social/political consequences.

    Please go back and re-read. Let me know when we're on the same page.

    Wrong. Under AI, the cost of production is zero. Under a human economy, production costs exist because humans demand compensation for their time. Further, you ignored the affect of supply, on price. This is simple supply and demand, micro 101, stuff. Price is usually set at whatever the market will bear. Competition drives down price.

    A more appropriate analogy would be this: how much would one copy of MS Office retail for, on a shelf with 99 other Office-type software suites, whom each are far more powerful and intuitive, priced at 1/one millionth of a cent (all written by AI)?

    Wrong again. Water is essential to life. Why shouldn't it cost one thousand dollars a gallon? Air is even more valuable. Why shouldn't it cost 500 dollars a cubic meter? After all, water and air are invaluable to our existence?!?!??

    Let me help you out.... Price is based on *relative* value and production cost. Relative to what, you ask? Relative to supply.

    Congratulations. You basically just made the argument for the Terminator scenario. "Worthless prolls don't deserve to live, I've got everything I want, fuck 'em." There's a third outcome to all this I didn't mention. The plutocrats keep their AI, and break-off into separate national entities, or enclaves, whatever u want to call it. Nations that lack AI technology, retain human-based economies, and institute a total embargo on imports from AI-driven economies, to protect their human industry. If you think about it, the moment AI puts humanity out of work AND charges a cost for their product, people would form their own networks of trade and labor again, to meet their needs. Basically, two economies running in tandem, but completely isolated from each other, in terms of trade and exchange. AI societies, if populated by guys like you (heartless psychos), would have no need or desire to "export" their products to the less advanced economies (since, like you mentioned, there's nothing of value they could receive in return). And the traditional societies couldn't offer anything in return to import AI products. In essence, you get North and South Korea. Something like that.
     
    #23     Jul 9, 2012
  4. achilles28

    achilles28

    Maybe some braces. Or a grill :D
     
    #24     Jul 9, 2012