VerbalIntercourse
Banned
This is gets to the core of the Right/left economic debate.
How can we have efficient Resource allocation without the profit incentive, markets, or property rights?
What is the alternative? How can I know the value of an Input cost without a functioning market? How is that possible?
Do any of you pick something up and randomly assign a value to it then pay some random price set by the seller? Or do you first look it up on Amazon or Ebay or something to get a feel for it?
I know most of you have sold things on Ebay or Amazon? Do you sell things at any price? Serious question. I'm sure you will want to sell it for you paid for it Plus more, hopefully.
I have a few personal trinkets that I would not sell unless there was a substantial amount of money offered. The market price for these trinkets are around 1-5 dollars. What stops someone else from purchasing these trinkets for my assigned value? Isn't that what a regulated price is-- Assigning a personal value to a good or service that is above or below the market price?
How can we know if a technology or a good is well "worth it" without capitalism? Without profit? A businessman wants to make as much money as possible, so he innovates to decrease input costs. Then he lowers his price to compete with his peers. Because of his actions there are more goods in the economy and at a lower price, this is the essence of GDP growth.
Maybe there are computer programs and advanced mathematical formulas that can assign value and market prices aren't needed. Whatever they are, I know they can't be used in GAAP or IFRS to mark-up or mark-down inventory accounts.
How can we have efficient Resource allocation without the profit incentive, markets, or property rights?
What is the alternative? How can I know the value of an Input cost without a functioning market? How is that possible?
Do any of you pick something up and randomly assign a value to it then pay some random price set by the seller? Or do you first look it up on Amazon or Ebay or something to get a feel for it?
I know most of you have sold things on Ebay or Amazon? Do you sell things at any price? Serious question. I'm sure you will want to sell it for you paid for it Plus more, hopefully.
I have a few personal trinkets that I would not sell unless there was a substantial amount of money offered. The market price for these trinkets are around 1-5 dollars. What stops someone else from purchasing these trinkets for my assigned value? Isn't that what a regulated price is-- Assigning a personal value to a good or service that is above or below the market price?
How can we know if a technology or a good is well "worth it" without capitalism? Without profit? A businessman wants to make as much money as possible, so he innovates to decrease input costs. Then he lowers his price to compete with his peers. Because of his actions there are more goods in the economy and at a lower price, this is the essence of GDP growth.
Maybe there are computer programs and advanced mathematical formulas that can assign value and market prices aren't needed. Whatever they are, I know they can't be used in GAAP or IFRS to mark-up or mark-down inventory accounts.
