<p>You are paid 15 dollars each by the elderly. You should count this as your revenue from providing the services of finding 100 domestic care to those elderly. Your are even finding those 100 elderly people. You can't say that you are not doing anything.</p>

<p>Economic systems work on the basis of demand and supply. There is demand of domestic care but keeping in mind the supply, people are willing to provide their services for 10 dollars only. Your services could be rarer than theirs, so you earn more.</p>

<p>Sometimes, it may appear that people are working a lot and are paid much lesser than those who don't work that hard. It is not important how much work you are doing or what work you are doing. What decides the price is the intersection of those beautiful demand and supply curves. 
It may not sound appealing but that is how it works.</p>

<p>Anyways, economics is allegedly dismal.</p>

CC BY-SA 3.0
2016-04-30T22:25:10.573Z
Do you think that last question holds for the multi-millionaires in the world? Off course money is for most people a measure of the non-dismal. If things are produced, they mostly want them. But there are many economic systems thinkable, where more people can be happy, without wanting to much.
Deschele Schilder
CC BY-SA 3.0
2016-05-01T08:03:31.917Z
Yes, there could be. That is the function of public policy and social designs. However, the fundamental systems of economics are mostly concerned with positive analysis. What you are saying is a normative analysis.
Sub-Optimal
CC BY-SA 3.0
2016-05-01T09:28:36.377Z
Public policy, social design, positive and normative analysis, are for me to abstract. We are talking about people (and Nature), and théy should be able to decide how they want to live (not only economical). If they want an economy based on barter (of wich I´m not one), alright! If they want an economy not based on the norm of competition and growth of production, alright! But the economy in it´s current form is already too global and based on the norm I just put forward, so I think there´s little place for other norms. Everyone  has a norm. I like to see everybody happy on a healthy planet.
Deschele Schilder
CC BY-SA 3.0
2016-04-30T13:37:34.177Z
2016-04-30T13:37:34.177Z
Sub-Optimal
<p>Suppose I search some elderly people who are in need of domestic care. I find 100 of them and them to pay me 15 dollars per hour. Then I find 100 people who will do the job for 10 dollars per hour. That means I make 500 dollars without doing almost nothing. That´s <em>profit</em>. The people who I give 10 dollars an hour <em>earn</em> their money. With my profit, I make the business my property. And the property grows and grows, according to the alleged law that economics needs growth.</p>

<p>Now for example, did mr. Gates earn his money with hard working, wich of course he is, but a cleaner of his buildings is also hard working, and you can be sure that she doesn´t earn 60 000 000 000 by working 10 times as long (like the people working on the assembly lines in one of his many production sites, mostly in foreign countries), or did he get it by <em>his</em> findings of people that would do the job for 10 dollars instead of 15?</p>

<macroeconomics>
The difference between profit and earning something
Deschele Schilder
# The difference between profit and earning something

(Asked by: username_0 on 2016-04-30)

Suppose I search some elderly people who are in need of domestic care. I find 100 of them and them to pay me 15 dollars per hour. Then I find 100 people who will do the job for 10 dollars per hour. That means I make 500 dollars without doing almost nothing. That´s *profit*. The people who I give 10 dollars an hour *earn* their money. With my profit, I make the business my property. And the property grows and grows, according to the alleged law that economics needs growth.

Now for example, did mr. Gates earn his money with hard working, wich of course he is, but a cleaner of his buildings is also hard working, and you can be sure that she doesn´t earn 60 000 000 000 by working 10 times as long (like the people working on the assembly lines in one of his many production sites, mostly in foreign countries), or did he get it by *his* findings of people that would do the job for 10 dollars instead of 15?

**Tags:** macroeconomics


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## 1 answers

### Answer by username_1 on 2016-04-30. Score: 2

You are paid 15 dollars each by the elderly. You should count this as your revenue from providing the services of finding 100 domestic care to those elderly. Your are even finding those 100 elderly people. You can't say that you are not doing anything.

Economic systems work on the basis of demand and supply. There is demand of domestic care but keeping in mind the supply, people are willing to provide their services for 10 dollars only. Your services could be rarer than theirs, so you earn more.

Sometimes, it may appear that people are working a lot and are paid much lesser than those who don't work that hard. It is not important how much work you are doing or what work you are doing. What decides the price is the intersection of those beautiful demand and supply curves.
It may not sound appealing but that is how it works.

Anyways, economics is allegedly dismal.

> **Comments:**
> **username_0**: Do you think that last question holds for the multi-millionaires in the world? Off course money is for most people a measure of the non-dismal. If things are produced, they mostly want them. But there are many economic systems thinkable, where more people can be happy, without wanting to much.  
> **username_1**: Yes, there could be. That is the function of public policy and social designs. However, the fundamental systems of economics are mostly concerned with positive analysis. What you are saying is a normative analysis.  
> **username_0**: Public policy, social design, positive and normative analysis, are for me to abstract. We are talking about people (and Nature), and théy should be able to decide how they want to live (not only economical). If they want an economy based on barter (of wich I´m not one), alright! If they want an economy not based on the norm of competition and growth of production, alright! But the economy in it´s current form is already too global and based on the norm I just put forward, so I think there´s little place for other norms. Everyone  has a norm. I like to see everybody happy on a healthy planet.  

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