Science of Value; a Cash Market
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It can get nothing from the return of the principal. If six per cent is the general rate of interest, this rate, at the end of fifteen years, when the property is supposed to be consumed, will have paid twice the money, the interest having piled up a sum to equal the principal. This interest, be it understood, is being paid all the time upon all the wealth accumulated from the past, and consumes all the profit taken from goods. This profit money then represents the capital that is being produce...d each year because the price of goods above cost is but another name for the cost of capital produced at the same time, as the two sums must balance. This is to say that if the owner of property is to get his principal in money and his interest at six per cent the total income from all property must be twice the money paid out as cost of capital each year. All property produced each year must therefore sell for twice its cost if the owner is to get both his principal and the regular rate of interest on the total wealth.
What to read after Science of Value; a Cash Market?
You can find similar books in the "Read Also" column, or choose other free books by Rawie, Henry, 1860- to read onlineMoreLess
To quickly assess the difficulty of the text, read a short excerpt:
It can get nothing from the return of the principal. If six per cent is the general rate of interest, this rate, at the end of fifteen years, when the property is supposed to be consumed, will have paid twice the money, the interest having piled up a sum to equal the principal. This interest, be it understood, is being paid all the time upon all the wealth accumulated from the past, and consumes all the profit taken from goods. This profit money then represents the capital that is being produce...d each year because the price of goods above cost is but another name for the cost of capital produced at the same time, as the two sums must balance. This is to say that if the owner of property is to get his principal in money and his interest at six per cent the total income from all property must be twice the money paid out as cost of capital each year. All property produced each year must therefore sell for twice its cost if the owner is to get both his principal and the regular rate of interest on the total wealth.
What to read after Science of Value; a Cash Market?
You can find similar books in the "Read Also" column, or choose other free books by Rawie, Henry, 1860- to read onlineMoreLess
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