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From: alle@ihuxb.UUCP (Allen England)
Newsgroups: net.politics
Subject: Zero Sum Gain???
Message-ID: <541@ihuxb.UUCP>
Date: Tue, 6-Mar-84 13:08:53 EST
Article-I.D.: ihuxb.541
Posted: Tue Mar  6 13:08:53 1984
Date-Received: Wed, 7-Mar-84 07:43:37 EST
Organization: AT&T Bell Labs, Naperville, IL
Lines: 34


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The idea of a "zero sum gain" is very popular among those who feel
that capitalists (whoever that is) exploit the workers, the people,
etc.

This idea is based on the notion that in every business transaction,
one person gains something and the other person loses something
resulting in no net gain (a zero sum gain).  I know of no economists
who support this position.  If person a sells item x to person b
for y dollars, then person a gained y dollars, person b gained item
x but lost y dollars.  The net gain is NOT zero.  Person a gained
y dollars in value (and clearly item x was valued at <= y dollars)
and person b gained the value of item x (>= y dollars) while
giving up y dollars.  In the general case, both sides gain something.
Thus, no zero sum gain.

If a factory owner "exploits" his workers "stealing" the products of their
labor without paying the workers for their work, that is called slavery.
If he pays them for their labor (but at a value less than the retail value
of the products), then they gain the salary while giving up their labor.
The factory owner gains the product while giving up the salaries of
the workers.  If either side is receiving less than it is giving, then
logically, the transaction should be stopped.

I don't mean to be so pedantic here, but I am disturbed by those who
insist on believing that one side loses while one side wins in every
transaction.  That runs counter to Economics and is normally used to
justify taking from those who have more than some group (i.e. soaking
the wealthy).

Allen England at AT&T Bell Laboratories, Naperville, IL
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