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Re:How Estimates of the Gig Economy Went Wrong by austincheney on Wednesday January 09, 2019 @01:00AM (#18862655)
The two primary metrics that Berkshire Hathaway considers before making an investment is management satisfaction and employee compensation. The higher these things are the healthier the company appears internally and there are all manners of second and third order consequences that come from this.

In the case of the gig economy there is no company. The people doing the work are underpaid consultants. So, where does the money go, the money that would have been paid to employees in an healthy company? It remains at the gig company. There are all kinds of economic problems with this, particularly if the company is itself not profitable and not on track to become profitable. For example how can these people invest back into the company to further stimulate the company and thus their long term earning potential?

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