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"Someone has to spend money for me to make money" That's the part where I get stuck, because that's not true. I can also invest my money and you could work fo
by jeffdavis 14y ago
"Someone has to spend money for me to make money"
That's the part where I get stuck, because that's not true.
I can also invest my money and you could work for a company dependent on that investment.
I'd like to step away from money for a minute, and look at the way the goods themselves flow. If I grow extra grain, I could either:
(a) Make beer, and consume it.
(b) Give it to you, so that you don't have to grow anything, and you can instead spend your time improving farm equipment.
If I choose (b), I may have less beer to enjoy today, but many benefits in the following years. Maybe the next year I will have so much extra grain I can start to make other improvements, and so on, until we are all very prosperous.
It seems like (b) is the choice we should encourage, and (a) is the choice we should discourage. (b) seems like the one that actually creates economic activity, and (a) is the one that dampens it.