All humans start out at a loss, their lives subsidized by their parents. Calories consumed, be those food calories and heat calories, are their expenses.
Welfare collectees live at a loss. In short, they do not produce anything that anyone wants and thus even if they produced something and with output surplus, still they produce at a loss. They get kept alive only out of the goodness of others in charity or by the nefarious schemes of welfare-doling collectivists who need them to justify their acts.
WHY POVERTY AT ALL?
Poverty arises because the impoverished do not output at all or fast enough things that can become wealth.ABSOLUTE POVERTY AND RELATIVE POVERTY
There are two kinds of poverty — absolute poverty and relative poverty.Absolute poverty deals with those living by operating at a loss. They do not produce anything that anyone or enough want such that they at least break even. In short, they do not earn their calories.
Relative poverty arises from the Politics of Greed and the Rhetoric of Envy. It's all around you.
"It's not fair that the guy over there gets a $50 million bonus because he works as an investment banker and has gained skills, which lets him materialize wealth that far exceeds his costs in doing so, while I march here in the streets of lower Manhattan sipping on my non-fat, mocha double latte, sending the latest updates of Occupy Wall Street on my 4G smart phone, that my parents mostly pay for the bill! At least I paid for the snazzy case from what I earned working my job at Big Box Retailer, which my snazzy dual major in Transgendered Women's Studies and Ebonics Literature helped me secure, thankfully. I am the 99%!"Truly, THE GREEDY ARE THE ONLY PROBLEM THE WHOLE EARTH OVER.
PROPERTY AND PROFIT
The entirety of trade, also said as commerce or commercial life, ties up with two words — property and profit. Without profit from effort, anyone would lack buying power to buy anything else. Without property, no one can trade.Though most think of property as things possessed, property always has meant the right of ownership and never the thing owned. Only when property gets created, can trade arise between two persons.
The name for property put to making stuff is called capital. The name for property put to purchase and sale for cash and credit is wealth.
Persons can profit when they produce surplus property in something such that the sales of their surplus exceeds the cost of their living.
Labor is the poor man's capital. The wage worker buys living space, food and transport. He gains property in those things. Those things are his capital, which he needs to produce his labor.
From his labor, he expresses skills through time, which all call work. Property in his work is his wealth.
He trades his wealth in a purchase and sale for wages with his employer. Wages are the wealth his employer trades away.
His wages less his expenses to live become his profit.
Gab It
