re: National Socio-Economic Security Need for Encryption Technology

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

Perry Metzger wrote:


>Bart Croughs writes:
>>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.

>So, you are saying that if everyone in the country spent their life
>savings on building giant green pylons, the capital investment would
>drive up everyone's wages? Wow! In fact, we could borrow money >from
>other countries to build more green pylons and drive up wages so >fast
>we could pay off the resultant debt!

>Perry

>(PS Please stop posting these things -- you may kill everyone >watching
>with laughter.)


No, I am not saying that if everyone in the country spent their life savings on building giant green pylons, the capital investment would drive up everyone's wages. You are suggesting that I'm saying this, but it's simply not true. This is called 'setting up a straw man'.

I am saying that the fact that American workers are better paid than workers in Third World countries, can be explained for a large part by the fact that there is much more capital invested in the US than in Third World countries. If you still don't understand this, I suggest you study my other posts on this subject, or better still, you study the works of the Austrian economists I've quoted before.


Bart Croughs