Economics is a complicated field of study. However, understanding the very basics of free-market principles is not difficult. To understand how capitalism works, one must simply understand supply and demand and that with every purchase, a cost/benefit analysis is done by the potential consumer.
If a hamburger cost $1.00, the establishment will sell more of them. If a hamburger costs $5.50, the establishment will sell less of them. In order to assess the price of the hamburger, the establishment must consider the costs incurred to make it. Someone has to take the order, another has to assemble the order and the costs of the meat and other ingredients all make-up a base cost for the burger. Tack-on a little profit and account for overhead such as electricity and various supplies, and that’s the cost of each hamburger.
For some reason, however, many who never achieved higher learning or obtained the skills necessary to earn more money now assert that they are entitled to a whopping $15 an hour for no other reason than they would like more money.
One woman, Naquasia Legrand, recently appeared on Fox News to discuss with Neil Cavuto why she and her fellow fast food workers should receive $15 an hour.
Pitching her incredibly-easy softballs, Cavuto explained that people will stop buying hamburgers if they’re too expensive. Legrand, however, was simply in her own world.
“No, I say that this is great that it is happening fast,” Legrand stated when Cavuto asked about the effects the effort will have on employment. “People are losing they jobs as we speak. Whether we fight or not, people are already losing they jobs, they homes.”
Cavuto noted that if the fast food workers receive $15 an hour, McDonalds’ Big Mac would jump from $3.99 to $5.50.
“McDonalds raised the Big Mac just last week but I have not received a raise,” Legrand justified.
Simply not “getting it,” Legrand explained that she wants more money, but Cavuto still attempted to reach her so that she could understand the question. He continued and noted that many industries have switched to automated programs to replace low-skilled laborers. He simplified it and asked if she was worried that their efforts would speed-up the fast food industry’s resolve to replace low-skilled laborers with automation.
“Not at all. McDonalds been around a long time. If they didn’t want people in they store, they would have then replaced us with robots.”
Cavuto noted that they are doing that. Many places have kiosks from which customers order their food.
“But we’re still there,” Legrand insisted.
Cavuto again simplified and said that this effort can place fast food workers on the unemployment line.
“That’s not going to stop us from fighting for what we deserve ‘cuz we deserve fifteen dollars an hour,” she replied.
Cavuto noted that even if people believe that there should be a hike in minimum wage, most believe that effectively doubling the federal minimum wage is a bit abrupt.
Legrand went in a different direction:
“Let’s just say this, Neil: when we came out with this message, it was to attack these corporations who was making billions of dollars each and every day off our backs who know for a fact that they could pay us more than they are paying us now. They can afford it. They can afford it.”
Cavuto highlighted the fact that the bulk of the protesters don’t seem to be fast food workers but are, instead, union members.
Legrand simply denied it. Cavuto then highlighted over a half-dozen cities where he has personally seen a strong union presence advocating for $15 an hour and asked point-blank if the union protesters he saw “weren’t there.” “They weren’t there,” Legrand replied in defiance of sheer reality.
This is the level of “thought” occurring on the frontlines of organized labor. The mistaken belief that companies are obliged to share their profits equitably with low-skilled employees is not only inherently unfair, but detrimental to the continuation of a free-market system.
But then again, that’s kind of the point of the left, isn’t it?…