[ST] Job Market

Day 2,946, 16:11 Published in Ireland Italy by Con Droata

Dia duit,
today I’m going to write about economy. Something I can’t understand and something which always occupied my attention is why do people hire employees? The current state of job market isn’t profitable to huge majority of the company owners and yet there’s still plenty of well-payed jobs on the market. I can understand that some people simply wants to produce their own weapons, houses and food, but is there so many of them?



I took eSerbia as one of the strongest economies for example. They have the best resources, pretty acceptable taxes and strong stability. Their tax income per day is huge, it’s somewhere around 290 000cc per day, which is over 2 million CC per week. Let’s compare this to Ireland. Our daily taxes are around 2500. It means that Serbia makes in 3,5 days what Ireland makes in a whole year. Is that unfair to smaller countries? Maybe it is, but Serbia has been much more capable community and they earned their current state. I was just trying to explain you why did I choose Serbia. It’s a massive economy.

Is it profitable to hire employees in the biggest Erepublik’s economy? No, not even there. And yet, there’s so many job offers. The only industry which can make money with extra workers is house production industry, but I have strong doubts that all those job offers are placed by the people who own houses. Also, if that would be true house prices would simply fall apart.





Losses per worker which gets an average wage of 63,27 CC is a bit more than 12 CC in Q5 food companies.. Now, the highest offer is over 90 CC which means that losses with the current wages are even more. Having workers with average wage in Q7 weapons company will make you a loss of 16 CC. Having workers in house companies will bring you 29 CC profit, without counting raw material needed to build the houses. If we count that, your total loss will be 20 CC. Which means no companies are profitable with having workers. Now we’re returning to the main question of this article. Why do people hire workers?

The current state of job market isn’t nearly profitable for company owners. Even though there’s so many offers...the wages should be lower to make employing people profitable. Average wage should be around 40 CC, only in this case all the companies would make a profit. Now.. what would happen if company owners would stop hiring people? There would be massive inflation of weapon prices since there wouldn’t be produced ones. A normal, not gold-buying player wouldn’t be able to buy a Q7 weapon with wage only.

I still haven’t answered on the main question because I don’t have a logic explanation. Why do people hire workers?

Media partners:


Erepublik-Deutschland

If you want to be added to this list feel free to send me a message.



Go raibh maith agat le haghaidh léamh!





Yours,
nord86