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Reply #185: This is a real life example. If it doesn't fit your theory... [View All]

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eallen Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Oct-07-07 11:59 PM
Response to Reply #177
185. This is a real life example. If it doesn't fit your theory...
Admittedly, the numbers next are a bit of a guess, because I don't know everyone's choice. But it's a real life example. For the first year, one employee chooses to take $0 salary and ISO on 100,000 shares of stock. Another chooses $40K salary and 50,000 shares. A third chooses $80K salary and 0 options. In another three years, those options may be worth $100/share. If that turns out to be the case, the first two employees pretty clearly will then be part of the capitalist class, and I'm sure no few Marxists will explain how they profited from the labor of others. After all, they were only two of those involved. Or the venture may fail, and the options will be worth $0/share.

I don't know why you say this example isn't consistent. And this is R&D. In the real world. I have done dozens of R&D projects. Fewer as startups -- this is my third such. Tell me, what experience do you have in R&D and startups to be saying I don't know how such things work?

It is a myriad of such ventures that drive economic progress. Saying that Marxian analysis can't cope with this is essentially an admission that it can't cope with economics.

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