
Adarsh Sharma
10.8K posts

Adarsh Sharma
@adarsh611
Co-Founder @liveFSLife | Angel Investor @gokwik @wholetruthfood | Previously @Rebelfoods1 @zomato


Slapping on higher minimum wages like what’s being demanded of Zomato in India, isn’t a magic bullet and doesn’t really work. This is well studied in academic research and basic economics: – Increased wages increases the price of the service for the end customer. This means lower income localities are the first to no longer afford the service. – The increased cost means less demand. Less demand can actually suppress the net hourly gig workers pay. And less demand can decrease total gig worker jobs. – In the worst case, your minimum wage reduces demand so much that the entity can no longer operate as a business and risks taking away both the jobs and the service they provide. This doesn’t mean regulation shouldn’t exist, but you can’t blindly implement them without studying their effects. Many of the US studies talk about 5-15% wage increases, whereas some are proposing 20k/mo to 40k/mo in India, 100%. No one knows how disastrous those effects could be. Free markets work pretty well.

Very well written @deepigoyal Every word is true. It beggars belief that a Champagne Socialist who married a film star and had a designer wedding in Udaipur and a first wedding anniversary in Maldives has the audacity to then shed crocodile tears around alleged exploitation of gig workers. Aam Aadmi my foot








