RE: Considering standard of living (was Re: Land of let's only talk about whats wrong with the US)

From: Spike (spike66@comcast.net)
Date: Sat Aug 23 2003 - 23:44:10 MDT

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    -----Original Message-----
    From: Matt Welland

    ...This thread strikes an interesting cord for me. In my opinion one of
    the
    unaddressed (and unintended) consequences of unbridled capitalism(*) is
    that
    over time natural resources, i.e. land, slowly ends up in the hands of a
    few...

    On the contrary, this consequence is intended. This
    demonstrates the beauty and power of unbridled capitalism.
    Matt, when wealth is evenly spread over the population, it
    is just money. But when it is concentrated in the hands
    of a few, then it becomes CAPITAL and it takes on a certain
    POWER to create new wealth and make things happen. This is
    because when money does concentrate, notice that it always
    seems to fall into the hands of those who know how to USE
    the capital to create more wealth, to the benefit of everyone,
    whether by creating jobs or by creating products to be
    purchased by the proletariat.

    Contrast this to unbridled communism, which destroys the
    value of land, since the government cannot be trusted to
    not seize the land on a whim (so why pay much for it?).
    Communism destroys wealth by reducing incentive to struggle
    and take risks. Take away the rewards of competition,
    and people will not compete. If people do not compete,
    they do not achieve excellence. They eventually get to
    where they achieve practically nothing, living in a dingy
    gray hell, struggling for mediocrity but not getting there.
    Russia will likely not recover from the curse of communism
    before the singularity.

     
    ...Carried to its inevitable consequence all the land is owned by a few
    very
    rich people who literally can deny life to the remaining population...

    It would work that way except for the fact that land
    is not a critical resource anymore. In fact most
    land is actually a liability. Land in cities has a
    great deal of value, and is increasing. Intellectual
    property carries value and is increasing. Farmland? Nah,
    it's just dirt, and the tax structure of the U.S. is
    making it harder all the time to make money from it.

    spike



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