1 $60,000 hummer or 3 $20,000 compact cars- lets say it takes 4 people to make 1 car/hummer, the employees get $20/hr and 1 car/hummer takes 5 hours to make so the employees get $100 each or $400 total for the hummer, now the 3 $20,000 cars each employee gets $300 each or $1200. Now lets say you sell a product that sells for $100 each, now since you bought a hummer you can only sell 4 of your product to the employees, since you bought a hummer you probly pay your employees $5/hr so the can't make up the 2 extra $20,000 cars so even if you bought the $20,000 car you whould still only sell 4 of your product, but had you payed your employees the $40,000 extra you payed for the hummer you could have sold 12 of your product and an extra 2 more from the employees you gave the $20,000 to making a total of 14 of your product sold.
It's kind of like toilet paper, if only the rich can afford it and they only make up 1% you only have 1% of the sales you could have,you can only employee your employees 1% of the year, and if you could sell to 50% of the population you could employee your employees 50 % of the year. Now since you only sell 1% you have to charge $20 each to get buy, now had you sold 50% you could sell them for $5/each and make more money.
I made this post cause I am trying to refine the above problems to better explaine economics to my republican and undecided friends, and also trying the KISS method or keep it simple stupid please fix my math or help me come up with a few better problems.