Economics

My farm truck requires fuel, lubricants, tires, brakes, hoses, cleaners etc to make my delivery.

I had decided, as a profit making - cost cutting measure to give it 55% of what it has taken to make my delivery.  We had a negotiation and it did not object to its new diet.

After the first delivery with this new diet, my costs are way down, way way down.  Surprisingly, my costs have fallen by order of magnitude beyond the simple 45% of previous costs for my farm truck.

Who knew a simple thing like this could be so wildly successful!  In fact, my farm truck operating costs have fallen to zero.

Next on the cost cutting agenda is my farm-based bakery.  I am meeting with my workers today to negotiate a new cost cutting measure there.  Business is competitive, so I have to cut costs to make it all work.

I am told they need a wage that allows them and their families to thrive throughout their life times, including the 45% of their lives where they are not working, you know when they’re too young and have to be in school, when they’re infirm and when they’re too old and can no longer work.

But my bakery really only needs them while they’re working so I am offering them 55% of their previous wage because that’s all I need and I gotta compete after all.

I don’t expect a problem because there are few alternatives for employment for them and anyway, if they leave, I can access workers from away whose living standards are so low they’ll think this is a perfectly acceptable wage.

So, I’m off walking to the bakery.  It’ll be nice to see the old delivery truck parked in the ditch on the way there.  Kinda miss the old truck.

No, it didn’t run out of fuel.  Ah ha, thought you got me there didn’t you.  For some reason the engine seized right about the time the left front tire blew.  So, nope, it’s not out of fuel.

Mike