In Reply to: Re: slaves and discount rates? posted by Melissa McCormick on October 7, 2001 at 15:03:52:
: : can anyone explain to me why it is that a high discount rate for slaves, treated as capital, could lead them to being worked to death?:
: Well i think it might have to do with the fact that they don't have to pay that much for the slaves therefore they are very easy to replace. It doesn't matter if you take care of them becuase if they die then you can just replace them. The goal is to get the most profit possible out of them, and that usually involves working them as much as possible, often so much that it leads to death.
i think that this is true, when slave masters know that they have slaves for a limited peroid of time( the slaves life) they want to get the most profit out of them as soon as possible. when you have as young child slave you know you can work them hard for a long time before they die, but when you have an older slave they may not last as long and therefore, since the cost of replacing them is so cheap they are worked to death very quickly. also a specific ammount of money is worth more now than in the future and knowing this and not wanting to loose money or capital the slave ownwers allowed their slaves to be worked to death inorder to combat the high discount rate of slaves.
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