Not necessarily. If your labour is 25% of the cost of a product and it increases by 4%, the price of the product would go up 1% without affecting the profit at all (in dollars, not percentage).
It’s better to let the free market determine wages. Wages are affected by the law of supply and demand. If a certain job is in high demand, the wage will go up. The government forcing wages up is artificially increasing demand.
Not necessarily. If your labour is 25% of the cost of a product and it increases by 4%, the price of the product would go up 1% without affecting the profit at all (in dollars, not percentage).
It’s better to let the free market determine wages. Wages are affected by the law of supply and demand. If a certain job is in high demand, the wage will go up. The government forcing wages up is artificially increasing demand.