My intro economics course taught there are 4: land, labor, capital, and entrepreneurship.
> Neither is more important than the other.
I would say capital is a more important factor than labor, because the tax responsibilities for earnings from different factors are different. Income tax is a lot more than capital gains tax. It is an undeniable fact that our system places more value on growth from capital, than growth due to increased labor efficiency.
> Neither is more important than the other.
I would say capital is a more important factor than labor, because the tax responsibilities for earnings from different factors are different. Income tax is a lot more than capital gains tax. It is an undeniable fact that our system places more value on growth from capital, than growth due to increased labor efficiency.