alt Hacker NewsOne of the common defenses of capitalism is that the capital owner is risking capital so should get to enjoy a disproportionate amount of their profits. The standard rejoinder is: "what exactly are they risking? If the capital owner is wiped out, they simply become a worker like everyone else".
I remember reading about the life expectancy of people who have worked construction all their working lives. The life expectancy in this same was (IIRC) 59. The life expectancy of the guy who owns the construction company was over 80.
So who exactly is taking a risk here?
To your point, you can look at an awful lot of incredibly dirty and dangerous jobs in undesirable locations and they pay surprisingly bad. As an example, underwater welding on North Sea oil rigs pays $100-160k. That is an incredibly dangerous job that wrecks your health. Even if there isn't a risk of acute injury or death, often it wrecks your body. And this fact also gets lost every time the idea is resurrected of raising the retirement age. How exactly is a construction worker or an airport baggage handler meant to work until 68 instead of 65 exactly?
On top of all that, the people who are getting paid very little in a possibly dangerous job can often cost a fortune if they screw up. International shipping tends to use fairly low paid sailors from countries like The Phillipines. The cost of a screw up can be hundreds of thousands of dollars a day when they might be earning as little as $30.
Replies
Most "capital" used to be workers who risked everything they've worked for because they thought they could do a better job than their boss. People mortgage their homes to get their businesses through hard times.
It's easy to frame the owners of capital as the bad guy when you act like they are the Monopoly man but most businesses are small businesses and sole proprietorships.
[dead]
I'm not arguing either perspective but being 59 and out of money looks very different than being 80 and out of money. If you have built up capital and that's how you make your living, you become very dependent on that capital.
I've known people who believed they would never live past 20. I've also known people who want to live to 200. The difference in mentality between the two as well as the different approach to life is large. IMHO, the difference is directly comparable to working for what you need for the day/week vs saving for when you are 80.
Frankly, if you had just enough money to simply retire, would you risk it on employing folks who drink themselves to death, wreck expensive equipment, take responsibility for as little as possible and generally don't care about your bottom line? ... or would you retire?