Access to capital isn’t universal, some people aren’t able to work out of their parents’ garage with a $245,000 loan from them (Jeff Bezos if you’re unfamiliar with his “self-made” story).
Without access to capital, you don’t have access to food or shelter, let alone labor. You’d have to work a full time job (or more), plus create the entire business yourself with no access to any substantial means of production.
It’s not an equal playing field, and it’s not supposed to be. Capitalism is a system setup for capitalists to accumulate capital. Labor and people more generally are commodities to be exploited. The system is functioning exactly as it should, and the working class is miserable because of it.
Thanks, but I already did that 8 years ago when I moved to UK from a poor Eastern European country. You should ask yourself how migrants without money, friends and language skills manage to live a better life than locals who have all the privileges and rights. Maybe it’s not about “means of production”, maybe it’s about YOU.
You’re kind of proving their point. Labor takes no risk of loss entering a job because generally speaking there is zero entry cost for starting a job. This is not true for starting a business.
I’m all for more equitable distribution of wealth, but OPs meme exposes a profound ignorance, not some kind of clever exposing of a contradiction.
Not really. Workers are dropped before the owner loses out. The risk is not balanced after a certain startup cost. Certainly not for mega corporations, where the owner who took the original risk is often long gone. It’s now run by MBAs who’s only skill is increasing shareholder value at the expense of all else.
The risk is not balanced after a certain startup cost.
This isn’t even quite true because even established companies can fail after taking additional (or even by not doing so), but you’re basically arguing “once you’ve gotten past the initial risk, there is no risk!” Of course if you discount the risk people take, there is no risk.
And don’t get me wrong, I agree that there is a big imbalance now and laborers are generally getting screwed. But there is a reason I decided to take the path of becoming a skilled laborer instead of s business owner: I don’t want to take that risk.
I can and do easily jump from one job to another, with little worry at all.
once you’ve gotten past the initial risk, there is no risk!”
No, that’s a strawman. The risk is far reduced, not zero. To get to zero, you have to be Too Big To Fail and have the government bail you out.
The reduction in risk is obvious when you see how layoffs work. The CEO gets a big bonus for walking a whole lot of people out the door.
Libertarian types want to start with stories about farmers selling corn by the side of the road, and then expect you to believe the argument still holds when scaled up to Fortune 500s.
You’re nit picking. Whether the risk goes to zero or just very low, that doesn’t change the point that there is generally significant risk to start up, which does not exist with labor. Labor is almost always a zero startup risk, a business is almost always the opposite.
You keep saying the word risk, and liberal capitalists do this all the time. Companies limit personal liability, so risk goes to zero there for a bunch of legal issues.
What most people are talking about is money, but not everyone has access to money. If you take two people, one born into a rich family, and another born into a homeless family, the rich kid gets a massive inheritance and “risks” 30% of it starting a business. Let’s say he hires the person born into a homeless family.
The liberal conception here is that the rich person, handed a massive amount of cash for absolutely nothing, deserves the surplus value of labor from the poor person because he “risked” a small part of his inheritance that the poor person never had access to. It’s a wild assertion.
This might seem fabricated, but in the real world this is how it goes, people with capital accumulate more capital. Jeff Bezos “built Amazon” with a $245,000 loan from his parents, and worked out of their garage. He then used that loan and later capital investments to hire people to actually build Amazon.
His parents could’ve just as easily gone the standard capitalist route, and instead of loaning the money instead valuated the company at $300,000 and assumed ~80% ownership for the company. The only reason this isn’t how it played out is because parents don’t like exploiting their kids, there was a biological component at play that disallowed the standard capitalist exploitation from taking place. So they offered him a deal that no capitalist in their “right mind” would offer, because it left Jeff with far too much and the capitalist with far less.
Sure, they can limit it, and you can shield yourself personally from losses taken by the company, but there is a still (generally speaking, again) a significant financial risk to starting a company at all. You can’t “shield” yourself from start up costs.
If the argument is that “rich people are financially more secure so it’s easier for them to take risk” I 100% agree. There’s no question that rich people start off with a massive head start. I fully recognize “the uterine lottery.”
But the meme is about this risk being equal to the “risk” taken by people just being paid to do labor. Don’t get my position wrong, I believe labor deserves way more of a share right now. But there is no risk in it. Sure, you can lose your job which sucks, but (again generally speaking, there are exceptions e.g. people might move across the country to take a job) you didn’t invest any money into starting the job. So now you are out a job and need to find a new one. You are not in the negative.
And we need this. We need to incentivize risking capitol to make capitol, as that helps labor too. It’s just that this isn’t infinite and doesn’t mean people should be able to amass any and all wealth they can. There is a middle ground and that is where the discussion needs to be. Not in this silly “well, labor is really involved in the risk of losses too!!”
It’s not, and this is specifically why I’ve avoided multiple opportunities to risk shit to start a new company: I would rather be a skilled laborer as I can just jump from job to job when I want, than to risk what seems to me to be a lot of money on trying to start a company. Too much pressure. It’s easy for me to not give a shit.
Really now? Wanna become a nanny pimp? Maybe organize a life couch group? Give me a break. All actual service jobs (jobs that don’t require renting or owning an office/place of some kind) require specialized equipment or a degree, and you’ll be hard pressed to find such a business opportunity without strong competition. Most people can’t afford to start a business, nor have the knowhow.
Create your own business and skip investors, problem solved!
Access to capital isn’t universal, some people aren’t able to work out of their parents’ garage with a $245,000 loan from them (Jeff Bezos if you’re unfamiliar with his “self-made” story).
Without access to capital, you don’t have access to food or shelter, let alone labor. You’d have to work a full time job (or more), plus create the entire business yourself with no access to any substantial means of production.
It’s not an equal playing field, and it’s not supposed to be. Capitalism is a system setup for capitalists to accumulate capital. Labor and people more generally are commodities to be exploited. The system is functioning exactly as it should, and the working class is miserable because of it.
We live in a service economy, the only mean of production you need is your bloody phone you’re using to post dumb shit online.
You fancy a challenge?
If I can provide a place for you to stay in my home city in the UK, the rent is free for the first 7 days.
All you need to do is come here, with your phone and starting paying rent on day 8. It can’t be that hard to make money right?
Hmu if you’re down.
Thanks, but I already did that 8 years ago when I moved to UK from a poor Eastern European country. You should ask yourself how migrants without money, friends and language skills manage to live a better life than locals who have all the privileges and rights. Maybe it’s not about “means of production”, maybe it’s about YOU.
And when the zero entry cost business is invented, that might work!
You’re kind of proving their point. Labor takes no risk of loss entering a job because generally speaking there is zero entry cost for starting a job. This is not true for starting a business.
I’m all for more equitable distribution of wealth, but OPs meme exposes a profound ignorance, not some kind of clever exposing of a contradiction.
Not really. Workers are dropped before the owner loses out. The risk is not balanced after a certain startup cost. Certainly not for mega corporations, where the owner who took the original risk is often long gone. It’s now run by MBAs who’s only skill is increasing shareholder value at the expense of all else.
This isn’t even quite true because even established companies can fail after taking additional (or even by not doing so), but you’re basically arguing “once you’ve gotten past the initial risk, there is no risk!” Of course if you discount the risk people take, there is no risk.
And don’t get me wrong, I agree that there is a big imbalance now and laborers are generally getting screwed. But there is a reason I decided to take the path of becoming a skilled laborer instead of s business owner: I don’t want to take that risk.
I can and do easily jump from one job to another, with little worry at all.
No, that’s a strawman. The risk is far reduced, not zero. To get to zero, you have to be Too Big To Fail and have the government bail you out.
The reduction in risk is obvious when you see how layoffs work. The CEO gets a big bonus for walking a whole lot of people out the door.
Libertarian types want to start with stories about farmers selling corn by the side of the road, and then expect you to believe the argument still holds when scaled up to Fortune 500s.
You’re nit picking. Whether the risk goes to zero or just very low, that doesn’t change the point that there is generally significant risk to start up, which does not exist with labor. Labor is almost always a zero startup risk, a business is almost always the opposite.
You keep saying the word risk, and liberal capitalists do this all the time. Companies limit personal liability, so risk goes to zero there for a bunch of legal issues.
What most people are talking about is money, but not everyone has access to money. If you take two people, one born into a rich family, and another born into a homeless family, the rich kid gets a massive inheritance and “risks” 30% of it starting a business. Let’s say he hires the person born into a homeless family.
The liberal conception here is that the rich person, handed a massive amount of cash for absolutely nothing, deserves the surplus value of labor from the poor person because he “risked” a small part of his inheritance that the poor person never had access to. It’s a wild assertion.
This might seem fabricated, but in the real world this is how it goes, people with capital accumulate more capital. Jeff Bezos “built Amazon” with a $245,000 loan from his parents, and worked out of their garage. He then used that loan and later capital investments to hire people to actually build Amazon.
His parents could’ve just as easily gone the standard capitalist route, and instead of loaning the money instead valuated the company at $300,000 and assumed ~80% ownership for the company. The only reason this isn’t how it played out is because parents don’t like exploiting their kids, there was a biological component at play that disallowed the standard capitalist exploitation from taking place. So they offered him a deal that no capitalist in their “right mind” would offer, because it left Jeff with far too much and the capitalist with far less.
Sure, they can limit it, and you can shield yourself personally from losses taken by the company, but there is a still (generally speaking, again) a significant financial risk to starting a company at all. You can’t “shield” yourself from start up costs.
If the argument is that “rich people are financially more secure so it’s easier for them to take risk” I 100% agree. There’s no question that rich people start off with a massive head start. I fully recognize “the uterine lottery.”
But the meme is about this risk being equal to the “risk” taken by people just being paid to do labor. Don’t get my position wrong, I believe labor deserves way more of a share right now. But there is no risk in it. Sure, you can lose your job which sucks, but (again generally speaking, there are exceptions e.g. people might move across the country to take a job) you didn’t invest any money into starting the job. So now you are out a job and need to find a new one. You are not in the negative.
And we need this. We need to incentivize risking capitol to make capitol, as that helps labor too. It’s just that this isn’t infinite and doesn’t mean people should be able to amass any and all wealth they can. There is a middle ground and that is where the discussion needs to be. Not in this silly “well, labor is really involved in the risk of losses too!!”
It’s not, and this is specifically why I’ve avoided multiple opportunities to risk shit to start a new company: I would rather be a skilled laborer as I can just jump from job to job when I want, than to risk what seems to me to be a lot of money on trying to start a company. Too much pressure. It’s easy for me to not give a shit.
There’s lots of 0 entry cost business. Problem is they exist because no one wants to do that work themselves.
Really now? Wanna become a nanny pimp? Maybe organize a life couch group? Give me a break. All actual service jobs (jobs that don’t require renting or owning an office/place of some kind) require specialized equipment or a degree, and you’ll be hard pressed to find such a business opportunity without strong competition. Most people can’t afford to start a business, nor have the knowhow.
And this is where that risk comes from. I’ll list a pile right now:
Most don’t have the know how, but you know how you get it? You take the risk and try.