Productivity, Minimum Wage, Inflation, Deflation.

you say “Increasing the minimum wage without a corresponding increase in PRODUCTIVITY will absolutely cause inflation”

If that is true, would 40 years of productivity increase without corresponding increase in wages absolutely produce deflation?

Its a fair question. It may explain zero interest “loans” for big banks and hot money creating local real estate bubbles and astonishing rents, and investments in factories in Vietnam. The hot money creates big chain competition for small business.

We need to turn the vicious cycle into a virtuous circle.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s