Re: Bush shot down on illegal-immigrant-coddling bill.

From: The Trucker (mikcob_at_verizon.net)
Date: 11/27/04 

Date: Fri, 26 Nov 2004 23:12:10 -0800

robert j. kolker wrote:

>
>
> Paul Hovnanian P.E. wrote:
>
>>
>>
>> You are assuming that we will be permitted to maintain a level of
>> protectionist policies necessary to keep everyone buying locally grown
>> products. As the prices go up following the wages, foreign produce will
>> take over the market and we won't need anyone to pick the domestic stuff
>> anyway.
>
> Those who love the Proles should rejoice over that. No more exploitation
> of the Working Class.

Bob and the original poster are real checkers players.....

You see, boys and girls, there are these 3 factors of production called
land, labor, and capital. (there are actually 4 but we will leave
the 4th one out because it will confuse things and checkers players
are already _obviously_ confused with just the basics). What actually
happens is that if we hold capital constant than rent falls as the
wages rise. The _owner_ of the land will eat the cost. If you assume
that the land will now be made unusable because it costs too much to
grow tomatoes here then the price of that land will go in the tank.
That means the rent will go in the tank. There is little doubt that
the land owner will do everything in his power to convince the congress
and all the rest of us that we need price supports or whatever it
takes to keep the price of his land way up there. But the reality
is that without government intervention it is rent that will take
it on the chin and the price of the goods will rise _ONLY_ if the
people earning wages are getting MORE wages and not sending the wages
back to Mexico. Like they can spend more on tomatoes. 

-- 
"I know no safe depository of the ultimate powers of society but
the people themselves; and if we think them not enlightened enough
to exercise their control with a wholesome discretion, the remedy
is not to take it from them, but to inform their discretion by
education." - Thomas Jefferson.  http://GreaterVoice.org

Relevant Pages

  • Re: Venture Communism Draft IV -- Request for Comments.
    ... If property owners were the elite they wouldn't get ... > This is not my claim, my claim is that land should not be private ... so who decides what the Rent should be? ... If the wages fully compensated for the labour ...
    (sci.econ)
  • Re: Does (residential) land rent merely grow with population?
    ... "For US residential price appreciation, ... Ricardo's Law of Rent implies that land rent will rise faster than ... productivity between the best land and marginal land increases, ...
    (sci.econ)
  • Re: CPI a fraud?
    ... We are talking about how to compute the cost of housing in the CPI other than ... > general price levels. ... In what way is the land rent increase ...
    (sci.econ)
  • Re: Land, Labour and Capital Taxation....
    ... >Impossible you still do not understand what economic rent means. ... people will only use 0 rent land if it is marginal land. ... No, it will not sell for a positive price, because the owner will not ...
    (sci.econ)
  • Re: Economic Rent As Sum of Externalities
    ... produce, or, what is the same thing, whatever part of it's price, ... That's not Smith's DEFINITION of rent, either, nor is it the ... however, may still be considered as the natural rent of of land, ... Can you provide a quote where Smith says rent is determined by demand? ...
    (sci.econ)