What the left (and most non-accounting people on the right) fail to realize is that it isn’t just the “evil rich business owners” that gets profits, but all his suppliers, vendors, employees, he pays. In other words ALL of his expenses are other people’s profits.
Not to mention the Shareholders who risk their capital in hope of a reasonable return, and that includes Unions Pension Plans that have a large stake in the market.
Good luck trying to explain that, in any kind of talk or language, to progressives.
I had a belly laugh at my ultra liberal cousin who works(?) for the federal government. She was on a rant one day about the excess profits of a bank and how that excess money should go to the government where it would do some good. She couldn’t get it through the liberal fog that the money was not staying in the bank but was used to pay pensions etc.
I also had a discussion with a fellow with socialist leanings about the ultra rich. He was adamant that money should be taken away from the 1%. This fellow has a gambling problem and has lost his job, wife, kids, house, car etc as a result. I asked him who he would rather have managing his money (if he had any) Jim Pattison (the richest man in Canada) or Doug the neighbourhood drunk who spends every night in drunken oblivion crashing at the local drunk tank. He couldn’t seem to get the concept that the money Jim Pattison has is going to create wealth and income for hundreds if not thousands while the money Doug the drunk has is going to the liquor store.
SHUT …. UP … YOU … RACIST.
If companies can’t have profits; then individuals should not be able to go to movies, eat out, buy vehicles, buy furniture, buy gum, ect.
Captain Capitalism grouped incorrectly governments in with economic entities. Thomas Sowell said “Weighing benefits against costs is the way most people make decisions — and the way most businesses make decisions, if they want to stay in business. Only in government is any benefit, however small, considered to be worth any cost, however large.”
One only has to look at the global warming issue where a billion dollars a day can buy you an unmeasurable small amount of prevented warming after a hundred years.
Yes, except for the last 20-30 years, corporations have lobbied for international agreements that allow them to off-shore the work force in order to increase profits, thus pushing down wages for domestic workers and hollowing out the middle class. This would be a better solution:
http://money.cnn.com/gallery/news/companies/2012/10/01/greatest-business-decisions.fortune/2.html
The concepts presented are valid and simple.
Why aren’t they taught in schools, or more importantly, why don’t teachers and professors understand them
Karl if you see an opportunity to create a better life for yourself say in Chile where your skills are in high demand and get you above average wages compered to Canada where you have to compete with too many people who have the same skills as you do making it difficult for you to make a living.
Question is should you be allowed to move to Chile or should the government keep you here, after all Canada invested in your education, too keep the pool of employees large and therefore the wages low for corporations?
By the way the CNN article didn’t point out that the skilled employees left ford for better wages and benefits with the growing automobile industry like Dodge or Chrysler those ford employees most definitely didn’t went back to there former lives as peasants on a farm living from day to day not knowing they will have food on the table. Ford had no other choice as to compete with other manufactures to retain skilled employees.
The 40 hours work week didn’t come from the kindness of his hart or union pressure as most union would let you believe it was the result of having to compete with other companies for the few people who had the needed skills.
Back in the day, the most successful filmmaker in Hong Kong was a fella named Run Run Shaw…..he said competition is what made Run Run run……..
Karl, we have a choice as consumers who drive the economy to buy products and support companies who don’t farm their labor to developing countries. You also have a choice to incorporate and hire people here to produce products and services if you think that the drivers of the market will desire.
However most people will naturally buy the $10.00 desk lamp made in China vs. the $100.00 desk lamp made with union labor in America because that is $90 in their pocket for something else and they can replace that crappy $10.00 lamp 10 times over.
The company making the $10.00 desk lamp will sell the most and pay out the highest dividends to its stake holders.
Don’t forget that as people making $10.00 desk lamps, even though by our standards the money they’re making may be deemed as slave wages it still creates excess for them which drives the local economy because poor people who have nothing are being usefully employed and they will become contributers to the local economy and demand better conditions, better health and better products and some of them will move on from creating $10.00 lamps to start their own enterprise.
That’s pretty well the crux of the problem and one Obama can’t seem to understand.
How could you possibly outsource thousands of manufacturing facilities to other countries, kick millions of workers to the curb, decimate the middle class turning millions of workers from contributing taxpayers into resource sucking liabilities and then expect a recovery of any kind. Obama has never had a real job in his life and has surrounded himself with people just as incompetent as he is. He is incapable of understanding that only private enterprise can offer the solution through lower taxation and less regulation. The worst POTUS in US history and 5 years into his mandate is still clueless. Nothing worse than a clueless, power hungry narcissist propped up by a politically correct media. The man couldn’t run a hot dog stand, much less a country.
As I once explained to my mother: The owner of a corporation that employs 50 people, not only pays his OWN income tax he also pays income tax for his 50 employees. Why punish him more by taxing the corporation?
To paraphrase Obozo: At some point, I think you’ve paid enough taxes.
I constantly hear from multiple sources how the “left” is generally clueless to the importance of a healthy and thriving business climate. An obvious sentiment I happen to agree with wholeheartedly. Michael Campbell has been outspoken for years on this, only to be regularly subjected to attacks from economic ignoramuses with a partisan axe to grind.
That said, this polarization of partisan ideologies promotes no open discussion nor honest exchange of ideas on ANY topic. Just the way the parties want it, I guess. Don’t want any sheep wandering into the other farmer’s field now, do we? So, I am curious how we expect to educate these people when no one is talking to each other. Our education system(leftist indoctrination system)seemingly has no interest in promoting business as anything but evil. And, you will certainly never welcome anyone to consider your POV when you are constantly using it to beat them over the head.
Sigh…..I am so friggin’ tired of watching these hate-filled, ideological civil wars constantly sidetrack and weaken western societies while China quietly readies itself to eat us for lunch.