Is it time to ban unions?

cdebru

little or no labour
what kind of an answer is that

give me an example where profit can be produced with out labour
interest is generally not considered profit
however if you insist on classing it as profit in order for interest to be earned there has to be labour
labour in the bank
labour in the businesses and investments the bank made with your money




Economic theorists generally make a distinction between two types of profit: normal profit, in which the entrepreneur receives the minimal necessary amount to encourage him to open or stay in a particular business; and excess profit, that which exceeds normal profit

does that explain excess profit

An entrepreneur, however, is not being paid for that labour. He /she may be paid if the enterprise is successful, and paid well in excess of the hours physically or mentally put in. Indded, if the business fails, he /she will most likely have earned less than zero, as it’s likely that he /she will have business debts to pay off. What the entrepreneur is getting paid for is risk, not labour.

but it is labour

Victor

Land, capital and labour are the three inputs.

Where do ideas, intellectual property, etc. fit into this?

Risk is not an input.

The Corinthian

Originally posted by cdebru
little or no labour
what kind of an answer is that

A rational one, as if you wanted to be pedantic one could consider signing a lodgment slip to be labour. You should try reason from time to time.

give me an example where profit can be produced with out labour

The renting of land or property. What would you call what the owner makes?

interest is generally not considered profit

By who?
however if you insist on classing it as profit in order for interest to be earned there has to be labour
labour in the bank
labour in the businesses and investments the bank made with your money[/B][/QUOTE]
And the owner of the capital receiving this interest - I suppose that his/her walking to the bank and back is labour then? :rolleyes:

Economic theorists generally make a distinction between two types of profit: normal profit, in which the entrepreneur receives the minimal necessary amount to encourage him to open or stay in a particular business; and excess profit, that which exceeds normal profit

does that explain excess profit

That looks suspiciously similar to what I said in this post - so what’s your point? Still doesn’t answer my challenge to you that you’re in no position to judge what is excessive profit or not.

but it is labour

Risk is not labour.

The Corinthian

Originally posted by Victor
Land, capital and labour are the three inputs.

Actually land is a form of capital.

Where do ideas, intellectual property, etc. fit into this?

This is a grey area, but generally as capital as it is generally an asset rather than a process.

Risk is not an input.

Only in the most basic models. It’s generally accepted to be an input of production in most modern microeconomic models.

bonkey

Any chance the bickering could end and people get back on topic, or should we just call it a day and lock the thread?

jc

cdebru

The renting of land or property. What would you call what the owner makes?

so your suggesting that there is no labour at all involved in being a landlord either by the landlord or his/her agent
either in the orignal investment of property ie selecting the property
in finding a tenant
or in maintaining the property

thats an interesting theory you developed there but you will have to try harder

That looks suspiciously similar to what I said in this post - so what’s your point? Still doesn’t answer my challenge to you that you’re in no position to judge what is excessive profit or not.

no it doesn't i gave you a definition of exactly what excess profit is but you skip over that and say i cant determine
an exact figure for what it is obviously

Risk is not labour

. risk is not a input in production
profit is a return for risk
but that does not make risk an input
how do you measure risk to determine if you have made a profit

labour is one of three factors of production

Land - naturally occurring goods such as soil and minerals.
Labor - human effort used in production.
Capital - goods which are used in the production of other goods, such as machinery, tools and buildings.

someone working 16 hours a day is labour

profit would be after the cost of that labour had been accounted for
profit would be the return on the risk

Only in the most basic models. It’s generally accepted to be an input of production in most modern microeconomic models

what models

cdebru

i'm willing to get back to the topic
but i notice arcadegame hasn't got back to me yet about the ILDA
must be still looking it up
or could he be avoiding the answer

The Corinthian

Originally posted by cdebru
so your suggesting that there is no labour at all involved in being a landlord either by the landlord or his/her agent

Actually a landlord may delegate all such management to an agent, who will get a share of the revenue for his/her labour, and the landlord will as a result earn revenue without any labour.

no it doesn't i gave you a definition of exactly what excess profit is but you skip over that and say i cant determine
an exact figure for what it is obviously

Actually I gave the definition, you repeated it. Additionally you gave a sweeping statement arguing that such excess profit curtailed - by what means you don’t discuss, but it is fair to assume that you meant by government intervention (most likely by people who’ve done leaving cert economics like yourself).

. risk is not a input in production
profit is a return for risk
but that does not make risk an input
how do you measure risk to determine if you have made a profit

Back that up or stop spouting.

Land - naturally occurring goods such as soil and minerals.

Actually that’s an old model - land is considered to be Capital in more modern production models. I suggest you Google for a more up to date page.

or could he be avoiding the answer

Pot. Kettle. Black.

bonkey

Originally posted by cdebru
i'm willing to get back to the topic

...He says after a large post continuing the bickering debate.

So I'll take that, and The Corinthian's reply as a no then.

Thread locked.

jc