Wage or Automation Taking Jobs?

An article I read today discussed some news I have heard a while ago about McDonalds replacing cashiers with machines. This article stated that the reason for this was since “it has to compensate for wage hikes.” As the technology becomes cheaper, I think that this automation would take place regardless of any wage increases due to the perfect accuracy and increased efficiency of the machines. One issue I see with these new machines is in the case that some people do not know how to operate them then they may lose some sales. This makes predicting the ROA of these machines to be less predictable, and it is possibly why they only planned on installing them in a few thousand locations initially.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s