Comments on: Prices Are Signals — And the Truth of the Message Isn’t Changed by Distorting the Signal http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html where orders emerge Mon, 16 Jan 2012 02:06:33 +0000 hourly 1 http://wordpress.org/?v= By: Doc Merlin http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html/comment-page-1#comment-187372 Doc Merlin Mon, 26 Oct 2009 02:55:00 +0000 http://cafehayek.com/?p=6961#comment-187372 Here is a good austrian argument for how hiking the minimum wage causes slowed economic growth coupled with CPI increase. 1)You raise the cost of hiring workers, 2)This raises costs to produce goods. 3)This means enterprises that are only marginally profitable go out of business entirely. (The economy suffers) 4) Eventually the higher costs leads business to raise prices so they can stay in the black Tadah, you have CPI increase and economic stagnation. Here is a good austrian argument for how hiking the minimum wage causes slowed economic growth coupled with CPI increase.

1)You raise the cost of hiring workers,
2)This raises costs to produce goods.
3)This means enterprises that are only marginally profitable go out of business entirely. (The economy suffers)
4) Eventually the higher costs leads business to raise prices so they can stay in the black

Tadah, you have CPI increase and economic stagnation.

]]> By: Doc Merlin http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html/comment-page-1#comment-187371 Doc Merlin Mon, 26 Oct 2009 02:55:00 +0000 http://cafehayek.com/?p=6961#comment-187371 Here is a good austrian argument for how hiking the minimum wage causes slowed economic growth coupled with CPI increase. 1)You raise the cost of hiring workers, 2)This raises costs to produce goods. 3)This means enterprises that are only marginally profitable go out of business entirely. (The economy suffers) 4) Eventually the higher costs leads business to raise prices so they can stay in the black Tadah, you have CPI increase and economic stagnation. Here is a good austrian argument for how hiking the minimum wage causes slowed economic growth coupled with CPI increase.

1)You raise the cost of hiring workers,
2)This raises costs to produce goods.
3)This means enterprises that are only marginally profitable go out of business entirely. (The economy suffers)
4) Eventually the higher costs leads business to raise prices so they can stay in the black

Tadah, you have CPI increase and economic stagnation.

]]> By: Anonymous http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html/comment-page-1#comment-187044 Anonymous Thu, 22 Oct 2009 05:34:00 +0000 http://cafehayek.com/?p=6961#comment-187044 Lay of the hyperbole? People like you always say America is about to be finished whenever a recession hits. Geez, we've not even hit 1982 levels! Lay of the hyperbole? People like you always say America is about to be finished whenever a recession hits. Geez, we’ve not even hit 1982 levels!

]]> By: Justin P http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html/comment-page-1#comment-187029 Justin P Thu, 22 Oct 2009 03:12:00 +0000 http://cafehayek.com/?p=6961#comment-187029 No, it's just that ideology trumps reason sometimes. No, it’s just that ideology trumps reason sometimes.

]]> By: Justin P http://cafehayek.com/2009/10/prices-are-signals-and-the-truth-of-the-message-isnt-changed-by-distorting-the-signal.html/comment-page-1#comment-187028 Justin P Thu, 22 Oct 2009 03:11:00 +0000 http://cafehayek.com/?p=6961#comment-187028 Muir would love Russia this time of year. Muir would love Russia this time of year.

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