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1.
» Wed Jan 28, 2009 3:25 pm
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Taxation is the most intriguing part of government for me.
I'm going to try to expand the teachers analogy a little.
The object of acedemic measures is to assess comprehension of the course material. The object of economic measures (prices and incomes) is to asses supply relative to demand. If we were to eliminate the academic measure we would have no idea who has a better understanding of the material. If we were to eliminate the economic measure we would have no idea which goods or services are in highest demand relative to their supply. Both measures are obviously important and should not be done away with.
The instructor of a course only has a limited amount of time to help students. He starts out by providing the class as a whole with an alotment of time that is meant to benefit everyone equally, a lecture. This can be compared to how the government provides a military to protect each of its citizens equally by protecting their lives.
The instructor then provides an exam to assess the comprehension of the material by his students. In the authors comparison, this exam would be equal to real world economics to assess who is meeting demand most efficently. The results of the exam come in and some students score well and others score poorly. The professor has more allotted time to spend with students outside of the classroom, say 30 minutes with each student individually. The student that scored an A on the exam obviously needs no further instruction from the teacher, therefore the teacher chooses to redistribute the time that he would have spent with that A student by spending more time tutoring the student who recieved a D on the exam.
This time for tutoring time I just described can be compared to real world social services such as mass transportation, social security, medicare, and welfare. The person who earns a million dollars a year does not need these services and will forego many of them. However, the poor person takes great benefit from them and could depend on them for survival much as the D student may depend on the teacher's private instruction to pass the class.
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2.
» Wed Jan 28, 2009 5:38 pm
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3.
» Wed Jan 28, 2009 6:29 pm
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Hey I treat Everyone the same.
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4.
» Thu Jan 29, 2009 10:39 am
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I was thinking about this analogy some more and I've come to the conclusion that author is trying to compare two unlike concepts. In the acedemic setting he is talking about the accumulation of knowledge while in the economic setting he is talking about the RATE at which wealth is accumulated. To put it in physics terms, he trying to compare a measure of distance to a measure of velocity.
To make my point clear let me put it in the context of deciding between two cars. The first car can travel up to 200k miles before breaking down. The second car can travel up to speeds of 200mph. Which car would you prefer to buy (assuming equal cost). The answer is THERE IS NOT ENOUGH INFORMATION. The first car may have a top speed of 10mph and is therefore undesirable while the second car may only travel 1k miles before it needs replacement and is also nearly worthless.
To make the acedemic-economic analogy more sound we must convert them to the same units. For instance, instead of comparing test scores to income (the rate at which you earn money) we should use accumulated wealth. Now we're comparing equal units. In the classroom the required passing grade is a D. While this is a wholely undesirable grade for most students, it nevertheless is deemed as enough comprehension of the material to receive credit for taking the class. This grade of D can be compared to the real world poverty line. Someone above the poverty line has enough resources to subsist while someone below the poverty does not.
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5.
» Thu Jan 29, 2009 3:07 pm
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» Thu Jan 29, 2009 4:46 pm
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7.
» Thu Jan 29, 2009 5:57 pm
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» Thu Jan 29, 2009 6:07 pm
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» Thu Jan 29, 2009 6:31 pm
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» Thu Jan 29, 2009 6:56 pm
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11.
» Fri Jan 30, 2009 3:07 pm
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12.
» Fri Jan 30, 2009 3:11 pm
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13.
» Fri Jan 30, 2009 3:49 pm
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14.
» Fri Jan 30, 2009 4:41 pm
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Hume I haven't really had time to talk on this subject, however, Zov put it probably the best. We are capitalists, not socialists. Let us decide what we want to do with our money. Let me make sure that my money goes to something I feel is a worthwile cause. I don't want to donate my money to someone who brings down the nation because all he wants to do is get drunk lay on the street and shoot heroin into his veins. If I did it would be to my uncle.
The article was meant to point out that one should not be forced to make up for anothers short comings. Those people getting 60% or have no savings and now eating out of a garbage can is because they CHOSE to make poor decisions. While people who were getting 90% or working hard for their income CHOSE to do so.
Also before anyone goes there about Capitalism, that is not why this recessions is happening. It's once again because of BAD DECISIONS.
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