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Joined 3 years ago
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Cake day: September 7th, 2023

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  • The market can never provide <product> because it’s too cost-effective

    Except that’s the exact opposite of the problem with rail. The cost of construction is too high, and if you charged the fare that it would require to recoup those costs in some reasonable amount of time, your ridership would drop, making you need higher fares, etc.

    It’s not cost effective from the perspective of a private person who builds/owns/operates the railroad. That’s why the private sector has such a hard time extracting wealth from it. It only becomes cost effective from a government perspective, since the government would benefit from all economic activity the railroad facilitates.


  • There is never going to be a 1:1 ratio between labour value and compensation. Even in a non-profit employee-owned cooperative, there will be external costs that will have to funded from somewhere.

    It becomes exploitation when that ratio becomes disproportionate and the ownership starts extracting more than their fair share. Capitalism definitely does nothing to discourage this, but it’s not a mandatoy feature.