Monday, 6 June 2011

Who is Getting Your Earnings - Useful sources.


What are Earnings, Tax and Rent exactly?
  • Earnings are the share of total production that go to workers and enterprises, as wages, salaries and the return to invested capital. Earned incomes. Money and credit are not capital, nor are shares and bonds in the economic sense. They are obligations to transfer existing wealth from one to another and add nothing to the common stock. I like money its a very useful labour saving device, its just not wealth. Understand this and find yourself soon on the narrow path
  • Tax should be self explanatory. What is taken from total production, work and enterprise, to fund government. Welfare is an unearned income. I'm not saying we should abolish it. I am saying it is unearned.
  • Rent, specifically economic rent, is the share of total production that goes to the ownership of non productive assets. Unearned incomes or monopoly profits. Such as the location value of property(mainly 'interest' on mortgage assets), natural resource rents and other smaller scale monopoly profits. I like rent, remember that its not wealth either and find yourself even further along the path. And I want it to increase in quantity, that is the sign of a society in advance
Sources:
  1. GDP as Earned and Unearned Incomes, based upon and extended from Dwyer, T.
  2. Mark Wadsworth: Rents and Taxes as a Share of UK GDP
  3. LVRG and Terry Dwyer - The Taxable Capacity of Australian Land and Resources
  4. Mark Wadsworth - Chart 8: Rental costs have also risen
  5. Business Insider:Here's What The Wall Street Protesters Are So Angry About..
  6. Our irrational distribution of wealth (1908) - Byron Collins Matthews
  7. New York Times  - Real Wages Fail to Match a Rise in Productivity
  8. The Independent - Stewart Lansley: The unreported cause of the financial crisis is shrinking wages
  9. Wikipedia  - Standard of living and GDP
  10. Truthout, Twelve Charts That Will Make Your Blood Boil
  11. Prem Sikka - Madhouse economics with lunatics in charge
  12. Henry George, David Ricardo, Adam Smith et al. The Effect of Material Progress on the Distribution of Wealth
  13. The High Pay Commission - The Cause of High Pay: the role of land value
  14. The Robin Smith Institute - Why Do Your Earnings never Rise?
  15. US wealth gap between young and old is widest ever
  16. 23 Mind-Blowing Facts About Inequality In America