tag:blogger.com,1999:blog-6297413898275266606.post4988202084302869854..comments2024-03-27T18:15:59.096+08:00Comments on Economics Malaysia: Nomura On Malaysia’s Minimum Wagehishamhhttp://www.blogger.com/profile/06265308095732759923noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-6297413898275266606.post-59301217662105960552012-04-02T10:25:20.038+08:002012-04-02T10:25:20.038+08:00mmmmm, Blogger.com's spam filter seems to be i...mmmmm, Blogger.com's spam filter seems to be in overdrive this past week, and its tagged yours as spam for some reason. sorry.<br /><br />On to your points:<br /><br />No, nobody can run away from local costs. Having said that, for many goods traded internationally, prices are mainly determined by global supply and demand factors. Prices of such goods (ex-taxes) are remarkably similar across hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-79687816490268628162012-04-01T02:37:29.715+08:002012-04-01T02:37:29.715+08:00A bottle of Coke won't cost the same as presen...A bottle of Coke won't cost the same as present because you have to factor in the handling cost - the factory workers, the lorry driver, the delivery man, the store boy that pushing crates of Coke and the sales assistant. They will be earning over RM1,000 with minimum wages. No goods, be it local or imported can by pass the local supply chain. <br /><br />I think our government is barking atmmmmhttps://www.blogger.com/profile/04212930101895762520noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-66894750075302164282012-04-01T00:02:06.739+08:002012-04-01T00:02:06.739+08:00mmmm, thanks for input.
Your situation starkly il...mmmm, thanks for input.<br /><br />Your situation starkly illustrates some of the problems.<br /><br />From the point of view of micro-economic theory though, you ought to be raising your retail prices by the same proportion as your wage bill goes up. Even if people buy less, adjusting your price based on changes in input prices (including wages), should maximise the proportion of income going tohishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-40941068095991992812012-03-31T08:23:30.518+08:002012-03-31T08:23:30.518+08:00I'm running a retail chain store with 40 emplo...I'm running a retail chain store with 40 employees. I understand my company salary scale don't match the real inflation rate but can't help it with the current economics situation. I do wish to pay them more. Even with current salary scale, I'm facing an uphill task with reducing sales and higher overhead. If the minimum wages step it, the only alternative other then closed shop mmmmhttps://www.blogger.com/profile/04212930101895762520noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-73224748414947993362012-03-30T09:48:27.861+08:002012-03-30T09:48:27.861+08:00@Greg
Rather than big bang or touchy feely, I'...@Greg<br /><br />Rather than big bang or touchy feely, I'd prefer a graduated approach with commitment - start off on the low side, but make a firm commitment to incremental increases over say 3-5 years. That gives businesses and the economy as a whole time to adjust, but with the knowledge that there's a deadline for making those adjustments.<br /><br />@mekyam<br /><br />Quite simply, hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-20452750403758648412012-03-29T13:11:07.442+08:002012-03-29T13:11:07.442+08:00Just checking out the RM2500 avg wage...is that 20...Just checking out the RM2500 avg wage...is that 2010 numbers?Based on that figure CE/GNI is 40% a very big jump from the DOS 2005 paper of 28%.Hv wages gone up that much?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-15065259710386915022012-03-29T12:27:44.354+08:002012-03-29T12:27:44.354+08:00dear hishamh!
i have a nagging question about thi...dear hishamh!<br /><br />i have a nagging question about this minimum wage proposal in malaysia. everywhere i read the proposed minimum wage is given as a monthly amount. why is that?<br /><br />in the USA [<i>where i live</i>], minimum wage, whether set at the federal, state or city level, is based on an hourly amount. the very term wage is understood here as such. those drawing monthly of Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-47654872348235604692012-03-29T09:24:41.849+08:002012-03-29T09:24:41.849+08:00There is consensus (except business, which is to b...There is consensus (except business, which is to be expected) that Malaysia needs a minimum wage for economic, social and political reasons. <br /><br />The question then becomes - how to implement it. Big Bang or Crossing the river by feeling the stones. <br /><br />It would be helpful if various simulations are run just to have a feel of the various impacts. We can never ever predict all the Anonymousnoreply@blogger.com