Companies are always hiring, even in a depression (or Economics for the ignornant)
September 11, 2009
– Comments (18)
There is always a scarcity of labor. Always. It is an economic fact of life. Why? Because those greedy businessmen are motivated by profit. Assuming the guy you hire isn't a complete waste of space, he should bring in more nickels than you shell out for him. Socialists call this labor exploitation. The rest of us call this cooperation.
So why do we have unemployment in the first place? After all, nearly every single government legislation is aimed at curbing the excessive profits of the inefficient and unregulated free market. At least, that's what they tell their economically illiterate voters. If the businessman is driven by excessive profits, and he is by a nature an exploiter of labor, shouldn't there always be full employment?? Why would the evil capitalist pig ever leave a soul unemployed if he could extract just one more penny from their helpless, sweet, perfect souls?
Obviously, there must be something preventing the capitalist from hiring all the employees he would like. For starters, he may not have any more money to hire a new employee. He may not find an employee that matches the skill level he requires. Most importantly, there may be several layers of government bureaucracy and regulations that he may have to fulfill which make it impossible to hire someone new and stay in business.
So can we have lots of people hiring even during a Great Depression? Absolutely. There are always people hiring. That will always be the case, unless the government destroys social cooperation completely and just starts giving orders to everyone.
David in Qatar
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