Saturday Morning Breakfast Cereal by Zach Weinersmith for July 12, 2015

Transcript:

It's called Baumol's cost disease. The idea is this: some jobs become more productive over time due to technology and so are better paid. Other jobs, such as playing live music, or preaching, or sex work, do not change and productivity and yet somehow they pay better over time too. Baumol's solution is that the musicians pay is buoyed by the fact that he could become a computer programmer. Buyers of labor pay the musician extra to not change jobs. So, you see, we're all connected! No financial action exists in a vacuum. Are you going to give me a pay raise or not? And encourage prostitution? You monster.