EDITOR:
For some strange reason, the spectre of socialism haunts us again. We often forget it's fundamental fallacy. Marx argued that labour is the only wealth and that profit is surplus labour stolen from the workers. He neglected to recognize the contributions of rent and capital.
A person works hard, deprives himself and through thrift and sobriety they set aside a little money to be invested. He risks investing it in a world where four out of five businesses go bankrupt during the first five years. He defers gratification until the business becomes profitable and makes a contribution to society.
Isn't he to be rewarded for his self-denial, his risk-taking, his deferral of gratification and his contribution to society?
Capitalism depends on profits to build pools of capital to produce supply. Demand without supply only leads to inflation.
Joseph Kenneth Malone,
Charlottetown
