So, Walmart would lose 25 billion dollars, no problem, now the Obama Administration would have the perfect excuse to give Walmart 40 billion in government bailouts…after all, to big to fail and what not!
“That’s assuming that all 2M employees are given raises, and all are full time employees. If Walmart basically doubled it’s salaries, it’s profits would also double because it’s employees would have twice as much money to spend back. That would enable Walmart to buy better quality merchandise to offer it’s customers, which would raise it’s profits even further, enabling it to offer even higher salaries to it’s employees. Any questions?” Yes I have a question, did you go to the Stanford School of Economics? ~ zzyzx
Walmart CEO’s Pay Jumps 14.1 Percent To $20.7 Million!!!!! OMG!! That filthy capitalist pig!
hmmmm $20 mil/2,000,000 = $10 per employee per YEAR
average Walmart employee pay = $13,000/year x 12.4% FICA = $3.224 BILLION/year (6.2% employee, 6.2% employER)
(2009)Before taxes, the world’s largest retailer banked $22.1 billion in profit. After deductions and factoring in its international operations, the company still paid just under a third of that back in taxes to various governments.
U.S. federal: $5.3 billion
U.S. state and local: $677 million
International: $1.1 billion
so….Federal taxes and social security generated by Walmart alone = $4262 PER EMPLOYEE
Although I agree with the sentiment, how many employees are they figuring per store for the 4&5th lines? Obviously not all employees work every day or work an 8hr shift. Anybody who’s worked big box retail will tell you that a shift is more likely to be 4-6hrs and you’ll be lucky to get 5 maybe 6 days a week. While I agree that $15/hr minimum wage for retail is insane, let’s make sure our numbers are correct.
@4 – As somebody holding a degree of Stanford, I would like to point a few things out:
1. There is no “Stanford School of Economics”. There is a department of economics in the School of Humanities and Sciences. There are also professors of economics in the Graduate School of Business, and possibly in other schools. There are also economists at Stanford’s Hoover Institution.
2. Milton Friedman was one of the economists at the Hoover Institution, from 1997 until his death in 2006.
3. John Taylor, a notably conservative economist who publishes notably conservative pieces on economics on the Wall Street Journal’s editorial page, is both a professor in the department of economics and a senior fellow in economics at the Hoover Institution, as is Michael Boskin, who was also chairman of George H. W. Bush’s council of economic advisors. In the interest of full disclosure, I will note that I know John Taylor slightly, having met him at a birthday party for my friend John Shoven, who, interestingly enough, is also a professor of economics at Stanford and a fellow at the Hoover Institution.
4. I caught the implicit assumption about all two million employees working all the time as soon as I read the piece, but I didn’t read the piece until now.
There are many things to criticize about Stanford, and I’m not at all reluctant to do so. Its economics department, however, is not among them.
@11 – Victor Davis Hanson also took his PhD from Stanford (1980, in classics). The Hoover Institution was founded by Herbert Hoover, who was a Stanford graduate. The building which originally housed it, and, I think, still houses some of it is known as Hoover Tower. Stanford students are fond of shortening the names of things on campus, so it is frequently called “Hoo Tow”, or, less reverently, “Hoover’s Last Erection”. Do a search for a picture of Hoover Tower on the web and you’ll see why. I’m not somebody who frequently calls things phallic symbols, but I’l make an exception for Hoover Tower.
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