| Re: conservatives/libertarians position on the minimum wage might charitably be termed 18th century |
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Group: sci.econ · Group Profile
Author: Robert BunnRobert Bunn Date: Oct 18, 2006 19:55
> Robert Bunn wrote:
>> comcast.net> wrote in message
>> news:9hddj25n0pgv61esk4uuobafglfgurcvq7@4ax.com...
>>>>> On Wed, 18 Oct 2006 22:46:35 GMT, Les Cargill cfl.rr.com>
>>> wrote:>>>>
>>>>> And since wages are not the only component of prices they will
>>>>> not
>>>>> go
>>>>> up as much.
>>>>
>>>>It has nothing to do with this as a component of prices. It has to
>>>>do
>>>>with the fact that more people have more money to chase
>>>>goods with. The demand is the same, so price adjusts.
>>>
>>>
>>> Or manufacturers will decide to capture the increased demand by
>>> producing more. You seem intent on only working your favorite
>>> variable
>>> at a time.
>>>
>>
>> Suppose I am all the manufacturers in the country. If I can capture
>> all
>> of the income in the country by producing at my current level, why
>> should I increase my production just because more dollars are
>> available?
>
> But the key here is "if". What if some of that money is saved for
> investment capital?
Ah. I see you are a stranger to the form of the syllogism in which one
leg is left unspoken because it is either self-evident or follows from
context. Let me rephrase.
* If I am all of the manufacturers in the country, then I produce all
the goods produced in the country.
* If a dollar is spent on goods manufactured in the country, I get that
dollar.
* At my current level of production, therefore, I get all dollars spent
on goods manufactured in this country.
* If a larger number of dollar bills are available, I will still produce
all goods produced in the country.
* If a larger number of dollar bills are available, therefore, I will
still get all dollars spent on goods manufactured in this country.
* I can capture all dollars spent on goods manufactured in the country
at my current level of production, regardless of how many actual dollar
bills are in circulation.
Therefore:
>
>> I can still capture all of the income in the country just by raising
>> my
>> prices, without incurring any added expenses.
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