Home Forums Principles of Economics Hiring People means extending my time? Reply To: Hiring People means extending my time?

  • Dorian

    Administrator
    October 7, 2023 at 10:47

    It will be if the task $10/h person is doing is valued less than $50/h.

    For example:

    A consultant can charge his time $100/h. He needs to outreach people on social media to offer his service. It takes him 2 hours each day to do it.

    He can outsource that task to a $20/h person and have two more hours for giving consultations. So he earns $160 extra in two hours ($200 income minus $40 cost).

    • This reply was modified 7 months, 2 weeks ago by  Dorian.