Quote:
Originally Posted by u-Bob
No true advocate of a free market would ever claim that hard work leads to wealth. If you spend an entire day digging a hole in the ground, will that make your wealthy? No, but you sure will have worked hard.
Creation of wealth is a result of people consuming less than they produce. The difference is what we call capital or capital goods. This capital allows them to spend time on long(er) term projects (like building a fishing boat instead of using a simple fishing rod).
By focusing their energy on what they can do best and trading with others who also focus on what they do best, individuals can maximize their income and reduce opportunity costs.
Trading with others implies that individuals produce products or deliver services other individuals want and are willing to give something in exchange for. The better an individual can predict what others in society will want, the more profit he can make and the less of his time and capital he will waste.
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Edit: shit on my phone. Quoted wrong post? Supposed to be OP. Sorry Bob.
The father (now deceased) and son I know who started a construction company in their garage in the 70s and now have 10k employees and $2 billion a year in revenue would disagree.
They were just two hardworking guys who started small and focused on getting large.
Took 35 years but it's still a private company and the family still controls 60%.
Just two blue collar guys (now white) that did what they had to do.