Marxism Unmasked from Delusion to Destruction.pdf 7471KB

superiority of the new sites. This is a refutation of the famous
infant-industry argument, which say^ that the new industries must be
protected against the old industries. In this case too—in the case of shifting
industries from physically less fa\x)rable to more favorable sites—the
decision must depend on the degree of supenont\- of the new sites. If the
superiority of the ncv, sites is suffiaent the mdustnes will move without
any outside assistance at all. If it is not sufficient, it is a waste to assist
industries to make such a mo\T. (For instance, the textile industries
developed m New England even though the cotton u-as grown m the
south. More btely the texnle milk ha\T been shitnng to the south, again
without any outside assistance.) If the ad\-antage to be den\rd loom the
abandonment of capital goods u great enough, the change uill be mjdc.
Technical backu-ardness is not the same as economic bjck^A-andness. If
capital needed for elimmatmg this technical back\%-aniness. toom our point
of view or from the point of vle^^ of the bu>nng public, has a more urgent
empkn-meni somr\%herc else, ihen it \%x>uld be econonucalK- a >ttv' tenous
mistake to emplov' it in nuking changn to new equipment simpK' because
there arc already bener nuchine*.
('apiul gomcthing which is Im important
than another pnxluct. which cannot be aaneJ prrcweK oo account ol'the
fact that these capital gixxls arc being empUnrd in the productKWi i^ the
less important pnnluct Ihis is what unprt)fitabilit> means A butinewnan
says. "1 his i\ unpn>fitablc The pn»je».t lOuUi be undertaken but it ^-mikl
be unpnifitablc Ihcrcforc, \%t do mx want to surt it ** What the socialists
say IS. "Hut businc\smen arc grcedv.the\ want to prsxhue onK those things
which arc pmfitablc. not those which arc unprsitiuble " Ho«kTvrr. what
nukes an enterprise unpmtitaWe is that, gisrn the prues ol the factors ol
pnHhutu>n and the rate t>f intcrrvt. the anticipated prcKced* WTHild lag
behind the expenditures
What di>es It mean it the price of copper is higher than it used to be'
It means that consumers arc ready to pt\ a higher price hw the copprr that
gt>es into the nuking i>t »>thcr pnnluct^. thes arc not ready to pj>' the
higher price ti>r copper in its present uses The> nuke tome prKes high
enough to nuke the prvnluction of other pnxluctt pmfiuNe C>n the other
hand, if there is an increase in the suppK of copper.