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Not just a nit, profits aren’t paid as salaries. The high profitability of the big tech cos is /despite/ the high salaries they pay.

> increasing concentration of company profits going toward the salaries of a select few




You are correct. Salaries are actually liabilities for companies. Profits are used to pay dividends to shareholders, not to pay the salaries.


True, but really high profits also enable them to pay higher salaries. Obviously they don't put all their profits into salaries.


High margins allow high salaries. Any money put into salaries is not profits it’s an expense.

This may sound like a nit but it’s important because they have high profits despite high salaries. It shows the lopsided value of well managed network effects businesses.




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