High House Prices Damage Businesses And The Economy

[winkie]

if it can be done from wales, it can be done from bangalore... Even the odd commute is comparable ... Peak time travel to london .. 200gbp +

Yes, and when you think about it there are quite a few jobs that can be done form a distance most of the time, there are people only travelling into town a couple of days a week....some hardly ever, conference meetings can be done on-line at great cost savings......in regard to bringing in the rest of the world ie people living in low cost areas so therefore can compete by selling their services for a far lower cost, I don't know but very recently there have been small signs of protectionism showing, something we might see more of maybe.

[Bloo Loo]

At least you have an opportunity to give them a figure, might even get them thinking about it. Unless it's such a stupendous amount that the person's head would melt if you told them, or they would consider you crazy.

high wages can only be maintained by high sales.

Lawyers charge £200 per hour and much more in London...who do they work for?....Local Authorities, Government and Banking, and that includes private firms cashing in on the public teat...BAE, (£50K for a trainee contract clerk), G4 x y and z, etc etc.

Take these away, and the whole house of cards will fall.

Differentials are way out fo kilter.

[@contradevian]

Î had a phone call last week asking me if I'd be interested in a position at McLaren cars, the chap seemed a little put out when I told him the pay wasn't enough to afford property in the Woking area.

Was recently offered a technical position in Maidenhead. I pointed out that I was unable to afford housing despite the generous salary offered. Isn't everyone in Maidenhead a property millionaire now?

[goldbug9999]

....things are changing, knowledge can now be based anywhere.......hands on work that has to stay in situ will be the only reason keeping anyone anywhere soon.

Sorry to tarnish this utopian vision of all knowledge based workers one day living in cheap areas with nice surroundings but from an employer/clients point of view if they are going to allow someone to work remotely then they may as well go the whole hog and employ someone in india for a 1/10 of the cost.

[mfp123]

its not the high cost that is damaging to the economy but the productive /rentier relationship.

when you funnel the gains from productive members of society to those that simply take money for doing nothing but owning the land it is inherently bad for society.

it funnels money and reward into the wrong places. and not just wrong places, id argue in places that put a brake on the economy because its giving money who are putting the least back in.

so instead of a multiplier effect of money moving round, you get a decreasing multiple effect.

putting money into productive hands may create a 1.5x effect. putting it into land owners doing nothing may create a 0.5 multiple effect, thereby slowing the economy down.

[Bloo Loo]

its not the high cost that is damaging to the economy but the productive /rentier relationship.

when you funnel the gains from productive members of society to those that simply take money for doing nothing but owning the land it is inherently bad for society.

it funnels money and reward into the wrong places. and not just wrong places, id argue in places that put a brake on the economy because its giving money who are putting the least back in.

so instead of a multiplier effect of money moving round, you get a decreasing multiple effect.

putting money into productive hands may create a 1.5x effect. putting it into land owners doing nothing may create a 0.5 multiple effect, thereby slowing the economy down.

that would be landlords, but mostly, financiers....the true rentiers...they rent the money, they rent the production, they rent the cost of resources, they rent everything....obviously true as when they stop lending, the trading that goes on slows....a lot.

[Tired of Waiting]

its not the high cost that is damaging to the economy but the productive /rentier relationship.

when you funnel the gains from productive members of society to those that simply take money for doing nothing but owning the land it is inherently bad for society.

it funnels money and reward into the wrong places. and not just wrong places, id argue in places that put a brake on the economy because its giving money who are putting the least back in.

so instead of a multiplier effect of money moving round, you get a decreasing multiple effect.

putting money into productive hands may create a 1.5x effect. putting it into land owners doing nothing may create a 0.5 multiple effect, thereby slowing the economy down.

That's exactly it.

I wrote something similar above, in posts 20 and 21. The productive sectors are saddled by the dead-weight of the rentiers classes. Of course it reduces our international competitiveness, as I say in my forum signature, below.

[winkie]

Sorry to tarnish this utopian vision of all knowledge based workers one day living in cheap areas with nice surroundings but from an employer/clients point of view if they are going to allow someone to work remotely then they may as well go the whole hog and employ someone in india for a 1/10 of the cost.

....not as simple as that, they may like to see them or their clients from time to time, certain skills require certain people from certain places with certain local knowledge.

But of course there are plenty of jobs such as call centres that do use people who they never have to see and could be anywhere within reason.

[eric pebble]

That's exactly it.

I wrote something similar above, in posts 20 and 21. The productive sectors are saddled by the dead-weight of the rentiers classes. Of course it reduces our international competitiveness, as I say in my forum signature, below.

Keep going ToW..... You are spot on.

It SICKENS me how long this has all gone on for..... I feel utterly utterly depressed when I see/read articles on tv/in the media saying - with a gleeful voice & big smile [or whatever] - "house prices have gone up this month.....! Horray!!....."

JEEEZSSSSSSSSSS it P1SSES me off..... :angry: