Quote:
Originally Posted by Chesapeake Bill
In what dictionary? Is there a special one for actuaries that the rest of us are not aware of? Define "creating wealth" and then explain why a stimulus package was necessary and what purpose the National Science Foundation or DARPA serves if not to create wealth through research?
|
It's called economics 101. In the private sector, the transaction only takes place when both sides find it beneficial. Otherwise one patry or the other would walk away from the deal. If both parties are voluntarily taking part in the transaction, both must feel they are benefitting from it. Am I going too fast for you?
In the public sector, the teachers union makes its demand, and the cost gets forced upon homeowners. Homeowners can pay the cost, or have their house taken away in tax delinquency. There is no choice on the part of the homeowner. The homeowner can't say "the Catholic school only spends half as much per kid, and performs way better, so I'll give my property taxes to the Catholic school instead". If homeowners had that choice, which they should, public schools would be forced to shape up. Am I going too fast for you?
In one environment, the customer gets to freely choose whether or not to give his money to the person performing the service. In the other environment, the person providing the service forcibly takes the money away from the customer, without asking his permission. Those two things are different. Am I going too fast for you?
"explain why a stimulus package was necessary"
It wasn't necessary. Nor was it stimulative.
"National Science Foundation or DARPA serves if not to create wealth through research?"
If that research was obviously financially promising, someone in the private scetor would be funding it. If an idea needs government subsidy, that means the free market decided that the idea wouldn't be lucrative.
Obviously, some things are more important that creating wealth, like public safety. But in my opinion, those who receive public funds should not receive benefits that dwarf anything available to those who pay for those programs. I guess you disagree. In that case, will you pay my family's share of the shortfall? Because I do not recognize the right of teachers to reward themselves with these insane compensation levels.