Well, I do think the country needs them in order to pay the taxes which pay for all of the lovely socialist things we have in Scotland like free healthcare and education.
I'm not convinced that there is a 1 to 1 correlation between income and wealth creation. There is probably a strong correlation.
It was literally Strategy 101 where I learnt there are two parts to making money, creating value and appropriating value and that a person or firm can get rich by being very good at either.
There's not a clear cut distinction between the two as in most cases you have to have control of some asset or do some work in order to create value or to appropriate it. It's often useful distinction when thinking about corporate strategy.
My rule of thumb is to ask if the person I think is appropriating value wasn't there or did their job badly would the end customer notice.
As an example if you owned a field near a town with no railway and I built a railway to the town and this increased the value of your land you would have appropriated value that you had not created.
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I'm not convinced that there is a 1 to 1 correlation between income and wealth creation. There is probably a strong correlation.
It was literally Strategy 101 where I learnt there are two parts to making money, creating value and appropriating value and that a person or firm can get rich by being very good at either.
no subject
no subject
There's not a clear cut distinction between the two as in most cases you have to have control of some asset or do some work in order to create value or to appropriate it. It's often useful distinction when thinking about corporate strategy.
My rule of thumb is to ask if the person I think is appropriating value wasn't there or did their job badly would the end customer notice.
As an example if you owned a field near a town with no railway and I built a railway to the town and this increased the value of your land you would have appropriated value that you had not created.