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Old 02-22-26 | 03:00 AM
  #55  
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50PlusCycling
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Originally Posted by tomato coupe
Nope. The cost, and therefore the selling price of an item, is not determined only by the labor cost.
No. Labor is the foundation. As I said, money is simply the medium was use for transferring (or storing) the value of labor. The value (and price) of products are tied to the work required to mine, to grow, to harvest, or otherwise obtain the raw materials. Some require more labor than others, which means some materials (like titanium) are more expensive than others (like wood). These materials must then be manufactured into finished products. The labor required varies depending on the product, things which are more labor-intensive cost more to produce than things which less labor intensive. The development of the product is also an act of labor, then there is the labor of transporters, merchandisers, advertisers, accountants, lawyers, and so on. The price of a finished product (or service) depends almost entirely on the amount of labor required to bring it to market. And how much we are willing to, or can afford to pay depends on the amount and quality of the labor we perform to earn the money. The selling price of a product is higher than the cost, the difference being the value obtained by the retailer of that product to offset his own labor costs. Even the taxes levied on the incomes of makers, sellers, etc goes to pay for the labor of those who work for the state, and to those who provide goods and services to the state.



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