Question 243867
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In general, I agree with your analysis.  Actually, lowering people's salary based solely on their age is more than unethical, it is illegal.


My personal experience has been that I've seen about a 5% increase per year since 1988 -- but that is not necessarily typical.


If you had to write a formula for a company, you would first have to define job categories and pick a base starting salary for each, call that *[tex \Large S_b].  Then you would have to select a percentage rate, *[tex \Large r], of increase for each one.  Then for job class number 1 current salary, *[tex \Large S_c], you could write:


*[tex \LARGE \ \ \ \ \ \ \ \ \ \ S_c\ = S_b(1\ +\ r)^t]


Where *[tex \Large t] is the number of years of employment.


So if the starting salary were say $50K and the rate of increase were 4%, then a graph of:


*[tex \LARGE \ \ \ \ \ \ \ \ \ \ S_c(t)\ = 50000(1\ +\ .04)^t]


Would look like the red line and


*[tex \LARGE \ \ \ \ \ \ \ \ \ \ S_c(t)\ = 40000(1\ +\ .05)^t]


Would look like the green line


{{{drawing(
500, 500, -5, 35, -10000, 200000,
grid(1),
graph(
500, 500, -5, 35, -10000, 200000,
50000(1.04)^x,
40000(1.05)^x)
)}}}


John
*[tex \LARGE e^{i\pi} + 1 = 0]
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