Lesson 3:

Wealth Distribution: There is Such a Thing as Natural Law!

Please read chapters 11 - 18 and the Supplements on Rent and Capital .

 Click here for plain text version. 

1. What is the margin of production?

| Text |

2. Does the rent of land depend on its own productive potential, or on productive potential of land that can be had for nothing?

| Text | Supplement |

3. If labor must resort to land of inferior quality to get it free, what happens to the rents on better lands?

| Supplement |

4. What is the law of rent?

| Text |

5. a) What is economic interest?

| Text |

b) What are some returns that are commonly confused with interest?

| Text |

6. How can we tell that interest is not a payment for the increased productive power that capital gives to labor?

| Text |  Supplement |

7. What are two ways in which the value of capital can increase independently of the labor applied to it?

| Text | Supplement |

8. Why do all types of capital receive the same general rate of interest?

| Text | Supplement |

9. What keeps capital owners from making people pay more than the general rate of interest?

| Text |

10. In what two ways are the quantity of capital increased or decreased?

| Text |

11. What does Henry George mean by the "general level of wages"? Why is that a focal point in our study?

| Text |

12. Are wages determined by labor's productivity, or on its alternative? Is this true at all wage levels?

| Text |

13. What is the common point at which the general rates of wages, interest and rent are determined?

| Supplement |