When there are 100 jobs and only 10 qualified people in SF ,all paying huge cost of living, they can command very high salaries to cover COL plus more.
When there are 10 Million people living in dramatically cheaper COL centers they (a) can survive on much less, and (b) are all competing for 100 jobs, driving the supply curve way down.
>> restatement of economic generalities help
because this is a textbook example of why these generalities hold true, but only in really basic, aggregate cases.
When there are 10 Million people living in dramatically cheaper COL centers they (a) can survive on much less, and (b) are all competing for 100 jobs, driving the supply curve way down.
>> restatement of economic generalities help
because this is a textbook example of why these generalities hold true, but only in really basic, aggregate cases.