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Video “LIVE: NBC News NOW – Sept. 3” was uploaded on 09/03/2024 to Youtube Channel NBC News
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Please explain how rentiers getting something for nothing means work pays less.
Sent by Copilot:
The concept of rentiers “getting something for nothing” refers to individuals or entities that earn income not through productive work, but by owning assets such as land, real estate, patents, or financial instruments. This income is often referred to as “rent.”
Here’s how this dynamic can lead to work paying less:
Income Distribution: Rentiers earn money through ownership rather than labor. This means a significant portion of the economy’s income is funneled to those who own assets, rather than those who work. As a result, less income is available for wages and salaries1.
Market Rigging: Rentier capitalism often involves manipulating markets to favor asset owners. This can include policies like tax breaks, subsidies, and deregulation that benefit rentiers at the expense of workers2.
Stagnant Wages: As more income is directed towards rentiers, less is available for workers. This can lead to wage stagnation, where workers’ pay does not keep up with productivity or inflation2.
Economic Inequality: The concentration of wealth among rentiers exacerbates economic inequality. This can reduce the bargaining power of workers, making it harder for them to negotiate higher wages3.
Reduced Investment in Labor: When rentiers dominate the economy, there is less incentive to invest in productive activities that create jobs and improve wages. Instead, the focus is on maximizing returns from existing assets3.
In summary, the dominance of rentiers in the economy can lead to a situation where work pays less because income is increasingly derived from ownership rather than labor, leading to wage stagnation and greater economic inequality.
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Democrat run cities sure do have problems
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