[blue_sky]

BTW, I totally disagree with the notion that high pay is the reward for hard work or even education

You are absolutely correct, and anyone who thinks hard work = money is not thinking clearly. In a nutshell:

money = market value of whatever you have to sell.

If your Ph.D. is physics is not something people value, don’t expect to get paid much. The world does not owe you a living based on any measure of ‘dues paid in’, it pays only for ‘value your produce’.

Note that we may disagree over how the market values various things. For example, I don’t believe mortgage brokers produced much value, but the market did, for a while. Now it doesn’t.

[blue_sky]

BTW, I totally disagree with the notion that high pay is the reward for hard work or even education

You are absolutely correct, and anyone who thinks hard work = money is not thinking clearly. In a nutshell:

money = market value of whatever you have to sell.

If your Ph.D. is physics is not something people value, don’t expect to get paid much. The world does not owe you a living based on any measure of ‘dues paid in’, it pays only for ‘value your produce’.

Note that we may disagree over how the market values various things. For example, I don’t believe mortgage brokers produced much value, but the market did, for a while. Now it doesn’t.

[blue_sky]

BTW, I totally disagree with the notion that high pay is the reward for hard work or even education

You are absolutely correct, and anyone who thinks hard work = money is not thinking clearly. In a nutshell:

money = market value of whatever you have to sell.

If your Ph.D. is physics is not something people value, don’t expect to get paid much. The world does not owe you a living based on any measure of ‘dues paid in’, it pays only for ‘value your produce’.

Note that we may disagree over how the market values various things. For example, I don’t believe mortgage brokers produced much value, but the market did, for a while. Now it doesn’t.

[blue_sky]

BTW, I totally disagree with the notion that high pay is the reward for hard work or even education

You are absolutely correct, and anyone who thinks hard work = money is not thinking clearly. In a nutshell:

money = market value of whatever you have to sell.

If your Ph.D. is physics is not something people value, don’t expect to get paid much. The world does not owe you a living based on any measure of ‘dues paid in’, it pays only for ‘value your produce’.

Note that we may disagree over how the market values various things. For example, I don’t believe mortgage brokers produced much value, but the market did, for a while. Now it doesn’t.

[blue_sky]

BTW, I totally disagree with the notion that high pay is the reward for hard work or even education

You are absolutely correct, and anyone who thinks hard work = money is not thinking clearly. In a nutshell:

money = market value of whatever you have to sell.

If your Ph.D. is physics is not something people value, don’t expect to get paid much. The world does not owe you a living based on any measure of ‘dues paid in’, it pays only for ‘value your produce’.

Note that we may disagree over how the market values various things. For example, I don’t believe mortgage brokers produced much value, but the market did, for a while. Now it doesn’t.

[blue_sky]

1. taking “excess” money from his customers

OR

2. not paying his employees or suppliers enough (taking “excess” money from them)

OR

3. both

CA Renter, your argument false (though it has not always been so, in many periods of history, wealth was generally accumulated by stealing it by force)

If case 1 is true, you should start a company and undercut his price, get all his business and you will be the rich one.

If case 2 is true, you should start a company and undercut his price, since you can also pay your employees and suppliers as much as he case, in which case you will get all his business and you will be the rich one.

In a system where competition is free that competition holds margins to reasonable amounts. For example, think the price of oil is high right now, think oil companies are making out like bandits? Go start finding more and you will be the rich one. Problem is, that’s a really expensive thing to do right now (drilling equipment is very expensive for example, because the market will pay a lot for it), and you’ll find that the margin you think is there isn’t nearly as high as you’d expect.

[blue_sky]

1. taking “excess” money from his customers

OR

2. not paying his employees or suppliers enough (taking “excess” money from them)

OR

3. both

CA Renter, your argument false (though it has not always been so, in many periods of history, wealth was generally accumulated by stealing it by force)

If case 1 is true, you should start a company and undercut his price, get all his business and you will be the rich one.

If case 2 is true, you should start a company and undercut his price, since you can also pay your employees and suppliers as much as he case, in which case you will get all his business and you will be the rich one.

In a system where competition is free that competition holds margins to reasonable amounts. For example, think the price of oil is high right now, think oil companies are making out like bandits? Go start finding more and you will be the rich one. Problem is, that’s a really expensive thing to do right now (drilling equipment is very expensive for example, because the market will pay a lot for it), and you’ll find that the margin you think is there isn’t nearly as high as you’d expect.

[blue_sky]

1. taking “excess” money from his customers

OR

2. not paying his employees or suppliers enough (taking “excess” money from them)

OR

3. both

CA Renter, your argument false (though it has not always been so, in many periods of history, wealth was generally accumulated by stealing it by force)

If case 1 is true, you should start a company and undercut his price, get all his business and you will be the rich one.

If case 2 is true, you should start a company and undercut his price, since you can also pay your employees and suppliers as much as he case, in which case you will get all his business and you will be the rich one.

In a system where competition is free that competition holds margins to reasonable amounts. For example, think the price of oil is high right now, think oil companies are making out like bandits? Go start finding more and you will be the rich one. Problem is, that’s a really expensive thing to do right now (drilling equipment is very expensive for example, because the market will pay a lot for it), and you’ll find that the margin you think is there isn’t nearly as high as you’d expect.

[blue_sky]

1. taking “excess” money from his customers

OR

2. not paying his employees or suppliers enough (taking “excess” money from them)

OR

3. both

CA Renter, your argument false (though it has not always been so, in many periods of history, wealth was generally accumulated by stealing it by force)

If case 1 is true, you should start a company and undercut his price, get all his business and you will be the rich one.

If case 2 is true, you should start a company and undercut his price, since you can also pay your employees and suppliers as much as he case, in which case you will get all his business and you will be the rich one.

In a system where competition is free that competition holds margins to reasonable amounts. For example, think the price of oil is high right now, think oil companies are making out like bandits? Go start finding more and you will be the rich one. Problem is, that’s a really expensive thing to do right now (drilling equipment is very expensive for example, because the market will pay a lot for it), and you’ll find that the margin you think is there isn’t nearly as high as you’d expect.

[blue_sky]

1. taking “excess” money from his customers

OR

2. not paying his employees or suppliers enough (taking “excess” money from them)

OR

3. both

CA Renter, your argument false (though it has not always been so, in many periods of history, wealth was generally accumulated by stealing it by force)

If case 1 is true, you should start a company and undercut his price, get all his business and you will be the rich one.

If case 2 is true, you should start a company and undercut his price, since you can also pay your employees and suppliers as much as he case, in which case you will get all his business and you will be the rich one.

In a system where competition is free that competition holds margins to reasonable amounts. For example, think the price of oil is high right now, think oil companies are making out like bandits? Go start finding more and you will be the rich one. Problem is, that’s a really expensive thing to do right now (drilling equipment is very expensive for example, because the market will pay a lot for it), and you’ll find that the margin you think is there isn’t nearly as high as you’d expect.

[blue_sky]

“why is it so far fetch for the government to consider that as well when taxing those salary”

Because this creates a system that can be gamed. “Oh, it’s so expensive to live in RSF… I have to have a lower tax rate”.

You’re already getting this in expensive areas because you have larger deductions for mortgage interest and property tax that people who live in smaller areas.

“But you are denying them the incentive to work harder.”

By the time you are at 250K earned in your hypothetical “doing overtime” scenario, you long ago stopped paying CA/UI and SS taxes, and you long ago capped out your state tax rate so your marginal tax rate has in fact dropped.

[blue_sky]

“why is it so far fetch for the government to consider that as well when taxing those salary”

Because this creates a system that can be gamed. “Oh, it’s so expensive to live in RSF… I have to have a lower tax rate”.

You’re already getting this in expensive areas because you have larger deductions for mortgage interest and property tax that people who live in smaller areas.

“But you are denying them the incentive to work harder.”

By the time you are at 250K earned in your hypothetical “doing overtime” scenario, you long ago stopped paying CA/UI and SS taxes, and you long ago capped out your state tax rate so your marginal tax rate has in fact dropped.

[blue_sky]

“why is it so far fetch for the government to consider that as well when taxing those salary”

Because this creates a system that can be gamed. “Oh, it’s so expensive to live in RSF… I have to have a lower tax rate”.

You’re already getting this in expensive areas because you have larger deductions for mortgage interest and property tax that people who live in smaller areas.

“But you are denying them the incentive to work harder.”

By the time you are at 250K earned in your hypothetical “doing overtime” scenario, you long ago stopped paying CA/UI and SS taxes, and you long ago capped out your state tax rate so your marginal tax rate has in fact dropped.

[blue_sky]

“why is it so far fetch for the government to consider that as well when taxing those salary”

Because this creates a system that can be gamed. “Oh, it’s so expensive to live in RSF… I have to have a lower tax rate”.

You’re already getting this in expensive areas because you have larger deductions for mortgage interest and property tax that people who live in smaller areas.

“But you are denying them the incentive to work harder.”

By the time you are at 250K earned in your hypothetical “doing overtime” scenario, you long ago stopped paying CA/UI and SS taxes, and you long ago capped out your state tax rate so your marginal tax rate has in fact dropped.

[blue_sky]

“why is it so far fetch for the government to consider that as well when taxing those salary”

Because this creates a system that can be gamed. “Oh, it’s so expensive to live in RSF… I have to have a lower tax rate”.

You’re already getting this in expensive areas because you have larger deductions for mortgage interest and property tax that people who live in smaller areas.

“But you are denying them the incentive to work harder.”

By the time you are at 250K earned in your hypothetical “doing overtime” scenario, you long ago stopped paying CA/UI and SS taxes, and you long ago capped out your state tax rate so your marginal tax rate has in fact dropped.

[Author]

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