Study says: the more you lean left, the less you know about economics

If the firm can make more out of an extra worker’s input than it will cost to hire them, they hire them. Up to the point where they haven’t enough capital to make it worth hiring more. But everyone who was employed up to that point is producing more than they are being paid for.

This extra production is what makes profit for the firm, pays for materials, land etc, and pays the salary of the guy who hired them.