I’m just saying that when we think offering more salary will help us secure someone, we generally do it. This means that further salary raises seem to offer low benefit:cost. This seems consistent with econ 101.
Likewise, it’s possible to have a lot of capital, but for the cost-benefit of raising salaries to be below the community bar (which is something like invest the money for 20yr and spend on OP’s last dollar—which is a pretty high bar). Having more capital increases the willingness to pay for labour now to some extent, but tops out after a point.
To be clear, I’m sympathetic to the idea that salaries should be even higher (or we should have impact certificates or something). My position is more that (i) it’s not an obvious win (ii) it’s possible for the value of a key person to be a lot higher than their salary, without something going obviously wrong.
I’m just saying that when we think offering more salary will help us secure someone, we generally do it. This means that further salary raises seem to offer low benefit:cost. This seems consistent with econ 101.
Likewise, it’s possible to have a lot of capital, but for the cost-benefit of raising salaries to be below the community bar (which is something like invest the money for 20yr and spend on OP’s last dollar—which is a pretty high bar). Having more capital increases the willingness to pay for labour now to some extent, but tops out after a point.
To be clear, I’m sympathetic to the idea that salaries should be even higher (or we should have impact certificates or something). My position is more that (i) it’s not an obvious win (ii) it’s possible for the value of a key person to be a lot higher than their salary, without something going obviously wrong.