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by Panzer04
1186 days ago
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Maximising profits might come at the expense of the worker, but it benefits the economy as a whole. The reason maximising profits is such an excellent goal is because it indirectly leads to maximising profit per worker (especially in lean times, when there's less cash to go around and you focus more on efficiency as opposed to revenue). The highest net benefit to society comes from having the highest possible productivity per person. Layoffs suck, but they also improve business efficiency since in general the less productive workers are laid off. It's a bit harsh to say, but those freed-up workers eventually end up somewhere else, where hopefully they fit in better, be more productive etc. A big reason other systems fail is because they don't focus on that metric. There's no feedback loop from per-person productivity, resulting in either stagnancy or even degradation in living standards. |
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Say you want to maximize efficiency, and you think revenue per worker is a good proxy. Then you can use the extra resources for: * charitable donations * keeping the employees and putting them in an open-source charitable division
I agree that market forces are powerful and can be used to do good things. I disagree that this fact should be used to justify evil behavior and greed
(also, laying A off and hiring B is ok -- they are not, they are reducing the workforce)
(also, the argument is symmetrical. If they had not hired, and were profiting too much, I'd think that almost as greedy and evil -- the difference is the disruption of the life of the person fired)
(also, firing A and giving the money away to some charitable cause is ok)
(also, profit maximization pure and simple is ok, as long as the government has the balls to take a lot of it and redistribute, to keep capitalists from concentrating too much money -- concentration leads to distortions, in the sense that the needs of the ultra rich are prioritized. The point of having a healthy economy is to have people in general live more and better lives.)