Re:The labor shortage is the catalyst for sustained inflation
by wolverine876 on Friday August 20, 2021 @01:20AM
(#28242901)
> Not sure I follow where you’re going with this — are you suggesting SV salaries aren’t causing inflation in the local area?
Sorry I wasn't clear. My point was that people now focused on rising wages causing inflation are typically wealthy professionals (such as in SV). I imagine a different response if someone attributed it to the wealthy people's income.
It's often: 'We need to cut their taxes so they can stimulate the economy more!'
Re:The labor shortage is the catalyst for sustained inflation
by ZoomerCretin on Thursday August 19, 2021 @07:01PM
(#28240407)
The only problem with the SV real estate market is the segregationist-era zoning policies preventing the market from sorting out the self-inflicted shortage.
Not sure I follow where you’re going with this — are you suggesting SV salaries aren’t causing inflation in the local area? They absolutely have kicked off an inflationary feedback loop in SV real estate.
* Pay tech workers more to attract them to SV.
* Housing prices rise.
* Pay tech workers more to compensate for higher real estate prices.
* Repeat.
Suddenly you find yourself in a situation where $400k in total compensation for a single FAANG employee isn’t out of the ordinary. Great for them, terrible for everyone making normal amounts of money — houses cost $1M+.