Tuesday, 15 January 2013
Only land reform will help the poor
Capitalism doesn't work very well if there is not some kind of impediment on owning an excess of land. The reason for this is that if people are permitted by the economy to accumulate land there is no natural impediment on excessive disparities emerging. If people can own an unlimited amount of land they will do so to the detriment of the rest of the economy. People with land are able to lease the land (or work it themselves) which means they have a certain (high) income above their costs. They can earn much more than they spend and (if it is available) they are able to buy yet more land increasing the problem. People without land find it very difficult to get land of their own because those with land have no reason to sell it... in fact they want more. If land is made cheap by a tax or levy... or an upper limit imposed on the amount of land a single person is able to own then this problem is remedied. If people cannot own more than an upper bound of land (in value) then this enables the rest of the economy to acquire their own which means they can get out of poverty. People cannot get out of poverty if they are not able to get their own land which they will not be able to do if there is no (non-market) restriction imposed on the ownership of land. If the government (or those who dictate property rights) do not pay attention to the accumulation of land then the economy will become increasingly dysfunctional and oppressive to the poor. The poor will not be able to get out of poverty and have their own land if the government (or similar) does not pay attention to land and prevent monopolisation of land. If the government is not attentive to this issue the poor will get increasingly poor. The poor will not be able to get out of poverty if the government does not pay attention to the accumulation of land by the few. If there is not a Land Value Tax or similar the poor will be forever trapped without land. The poor will not be able to get land if there is not a Land Value Tax or similar. Capitalism will remain oppressive to the poor if there is not a LVT (or similar). If there is a LVT then land becomes cheap and everyone will be comfortable. Without a LVT land will be expensive and serve as the primary means to save wealth... placing a burden on those who are poor and have no land. The poor will be given (economic) freedom if there is a LVT or similar. If the government does not pay attention to the issue of land ownership the poor will remain poor. Capitalism doesn't work for the poor if there is no limit on land ownership. If land is able to be monopolised then the poor will remain poor. The only way for the poor to get out of poverty is if there is a LVT or something similar.
Friday, 2 November 2012
Capital earns its own income
There is a difference between 'farming' and other types of work... with farming we must only maintain the status quo and we will be fed and wealthy. With other types of work (such as being employed on a farm) we must continue to work otherwise we will starve. The farmer must only maintain their property for a harvest to be assured... the work is driven by the environment... when the seasons change the crop is sown... when it grows it is harvested. Provided the farmer is able to keep up with these demands then they will be rich. For workers of the other type it is not enough to keep up with events... even by doing so we have no guarantee of being rich. We have no capital which will earn an income.
Saturday, 29 September 2012
Only farmers can be self-employed
Only (subsistence) farmers are self-employed... anyone who has a job or even someone who has a business with customers is not self-employed. They rely on their boss (or customers) for an income. We can only be self-employed if we can sustain ourselves directly from what we produce. If there is a transaction before we get what we want then we are not independent of the economy.
There is nothing magical about land
The advantage of land over other assets is that with land we can grow our own food and survive independently. But that is all (it does not give us access to any other part of the economy... food is not necessarily that valuable). Subsistence farmers are often poor.
All other types of sustenance rely on employment... either by a boss (or manager) directly or if we have a business by our customers. In either case we can be replaced by technology. Technology is a threat to every employee and business owner and so only if we have our own land can we be immune from (replacement by) technology. (We can be self-employed if we have our own land.) But that doesn't mean there is anything to celebrate in the ownership of land... we might not be rich. All that is guaranteed by land is a basic level of sustenance. It doesn't mean that we will be able to afford anything which is happening outside of our local farming economy. The subsistence farmer does not have much to offer the wider economy apart from excess food.
There is nothing to particularly celebrate in having our own land... it is an insurance option against unemployability but not much more than that.
All other types of sustenance rely on employment... either by a boss (or manager) directly or if we have a business by our customers. In either case we can be replaced by technology. Technology is a threat to every employee and business owner and so only if we have our own land can we be immune from (replacement by) technology. (We can be self-employed if we have our own land.) But that doesn't mean there is anything to celebrate in the ownership of land... we might not be rich. All that is guaranteed by land is a basic level of sustenance. It doesn't mean that we will be able to afford anything which is happening outside of our local farming economy. The subsistence farmer does not have much to offer the wider economy apart from excess food.
There is nothing to particularly celebrate in having our own land... it is an insurance option against unemployability but not much more than that.
Tuesday, 22 May 2012
Definition of the Georgian threshold
The Georgian threshold is the point at which a person is able to derive a greater income from their rental assets than their cost of living. At this point they no longer have a need to work in the sense of attaining an income from other sources. At this point they are able to live without doing anything other than to collect the rent. They are economically inactive as a producer apart from their being able to lease assets.
If the Georgian threshold for an individual is positive they are able to live without working in the traditional sense. They are able to survive on their rental income alone.
If the Georgian threshold for an individual is positive they are able to live without working in the traditional sense. They are able to survive on their rental income alone.
Saturday, 5 May 2012
The only job safe from technology is farming
Farming is the only job safe from technology because we are able to produce our own food. If we can produce our own food we can survive without external employment. If we are not a farmer we are vulnerable to technology.
Friday, 27 April 2012
A definition of land slavery
Definition of land slavery: A person is a land slave if they do not have sufficient land to produce their own food.
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