in Running a business salary is just one of the expenses. you still have to add up other expenses like materials and overhead cost plus you still have to pay tax. in our taxation class before if i remember correctly the tax is about 20-40% of your gross sales. take note, gross sales so you haven't deducted your expenses yet. Economist see the situation from a Macro level, but Accoutants know the details of the profits and losses. the problem with the Economic theories is sometimes they are too broad and encompassing as if simplifying everything. plus in giving salaries you have to consider the market factor too. kung daghan available workers then dili pod sila ka demand high salaries because of competition. just like you can't sell your products at a very expensive selling prices if you lots of competitions.
raising the salaries of our workers will just mean higher cost for everything. parehas ra gud na nga kung moadto ka ug states dako tuod paminawon imo sueldo kung i convert nimo to peso pero you have to spend in dollars man pod so ma offset ra.
kanang businessman nga moingon nga losing makatuo baya ko ana kay ako bossing sa una ingon ana na. manghuwam na lang money para i sueldo namo. the problem is ang ubang tao man gud kung kita ug mag kotse, moingon dayon nga dato nang tawhana. wa kahibaw nga napuno diay sa utang ug ga data data pa sa iya kotse.
Peace I am just airing my opinion.
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