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[quote user="JH2011"]Yes, in a market economy it will be easier for someone who has a lot of money to start a new business and be successful than someone with less money (all other things equal).[/quote] Actually, I don't believe that to be the case. What matters in a free market is producing value at a lower cost than the next guy. How
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[quote] 2. In general, "it takes money to make money" - those who retain profits will benefit from "economies of scale," compared to smaller competitors. "Winners" will find it easier to keep on winning, while "losers" will find it easier to keep on losing [/quote] It's the central fallacy of Marxism and much
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[quote user="Autolykos"]Well it seems like people certainly see the money they've received as income to be a form of wealth. You were saying that income isn't wealth, however. I wasn't sure whether by "income" you were referring to the flow rate itself, or the money that's been already received. My first instinct
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[quote user="Autolykos"]EmperorNero, would you say that saved income is wealth?[/quote] I say... yes. I think. Why? [quote user="Southern"]This is only true in some cases. Delving into that issue and the whole "steal from the rich and give to the poor, because the rich wont miss it" would be too much for one discussion
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[quote user="SecurityCulture"]Ask a Markist anything.[/quote] How does putting the state in charge of everything lead to a stateless society?
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Yes, practically all the money the government expropriates is consumed now, and can't be invested. You only have to look at the difference in standards of living since 1900 to notice that consuming all our resources now wouldn't make us better off. Technological progress raises standards of living more than equally distributing existing income
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[quote]Just a quick post on something I've been mulling around in my head. Enacting an income tax seems to be a useful tool for plutocrats. Most poorer people depend mainly on labor income for their livelihoods. By taxing income directly instead of consumption, investment, etc., accumulation of financial capital can be hindered at its source. This
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[quote]I am not sure why the govt burning up a pile of money is bad.[/quote] If the government forces us to exclusively use their money, and then contracts the money supply, it is going to create the opposite of a bubble that's caused by an inflated money supply. Right? Everyone reduces spending while trying to sell off assets, banks don't lend
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Smiling Dave, thanks for your enlightening post. You are right, that article is a bunch of Keynesian errors. I misread it because I understood "deflation" in an Austrian sense, while the article defined the word in a Keynesian sense. (Phew, this is hard, with all the differing definitions and whatnot.) Deflation is a contraction of the money
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I came across an article once that I thought explains it well. Yes, here it is: http://www.thefreemanonline.org/featured/deflation-the-good-the-bad-and-the-ugly/ As I understood it, there are two kinds of deflation. Price deflation, that's if increased productivity leads to lower prices. That's good. And monetary deflation, that's when there's