1 upvotes, 1 direct replies (showing 1)
View submission: Objectivism & Austrian Economics
As compare to a labor theory of value which assumes someone can spend all day driving in circles and it creates the same value as someone acting as courier for a life saving organ transplant lol
Comment by DuplexFields at 19/02/2025 at 14:40 UTC
1 upvotes, 0 direct replies
Exactly. The hourly labor of a hireling on the clock is valuable to the businessman because he’s renting careful hands, strong legs, and/or a quick mind for around eight hours to combine things of low value into something the businessman knows the market wants.
The businessman is the one who arranges for the worker to be where the materials, tools, plan for the product, and the will to work are all together. Thus the businessman has value to the market, the holder of value to be exchanged for produced value.