re: National Socio-Economic Security Need for Encryption Technology

[Bart Croughs <bart.croughs@tip.nl>]

Perry Metzger wrote:

> Bart Croughs writes:
> > 	 But there is another axiom of economics which the
> > nationalist/socialist can use for his case against the free movement of
> > capital. This axiom states that the wages of workers depend on the
> > amount of capital invested. The more capital invested, the higher the
> > wages are.

>I failed to note obvious counterexamples. Well known authors get giant
>advances for books written with manual typewriters. Minimum wage
>workers routinely operate expensive equipment. Workers doing the same
>job in different places using identical equipment that cost identical
>sums earn different salaries.

>Clearly, wages are defined by supply and demand -- not by "capital
>investment".


When economists say that wages are determined by the amount of capital invested, they mean on a regional/national level, not on the level of individuals.

Bart Croughs