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Originally Posted by Peter
(if only everyone had more $$!)
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If everyone had more money, prices would quickly rise to reestablish the status quo. Money has very little intrinsic value - its worth is in the goods and service it will buy. An increase in the money supply without a matching increase in the goods and services available is the reason my
house, for which I paid $39,900 in 1979 is now appraised at $120,000. It didn't get any bigger (but my tax bill did). It's called inflation, and the government is the only one that really profits from it.
There's less than $30 in raw materials in an $800
safety harness. The rest is in the labor to build it and in the testing to prove
OSHA compliance and in the liability insurance premiums the manufacturer has to pay (probably the biggest single chunk).
John