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Agatha Christie could afford a maid and a nanny but not a car

fullstackeconomics.com

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Re: Agatha Christie could afford a maid and a nanny but not a car

#402
post #344

Earlier quoted context omitted.

If you look at dollar and time amounts, all financial interactions are pretty much zero-sum.

The transaction itself is not zero sum. The existence of the transaction itself is proof that both parties value what they received more than what they gave away (otherwise they would not have transacted). The waste of time is having to haggle to arrive at the price, when the price could have been published. It benefits nobody, because that's the price the transaction would have happened at anyway. But we have to do…

> It benefits nobody, because that's the price the transaction would have happened at anyway.

But this is not true. Haggling is price discovery. Either way, I think this is mostly a cultural thing that's lost on a lot of westerners.

Re: Agatha Christie could afford a maid and a nanny but not a car

#403

Earlier quoted context omitted.

Because you've combined two concerns, the amount of money people make, and what level of stratification is involved in making it. You can study, train, and improve your economic security considerably, but still end up essentially doing menial tasks for rich people, just for more money. (EDIT: That said, upward economic mobility is always desirable and education is essential to achieving it. It's an escape from povert…

> Because you've combined two concerns, the amount of money people make, and what level of stratification is involved in making it. The two concerns are linked. You only see widespread personal drivers and housekeepers and gardeners in less developed countries with many very poor people. Reducing the stratification by redistributing wealth via taxes and an education system is preferable mechanism of spreading opportu…

> The societies telesilla and Blahah are referring to are not ones where a housekeeper works 40 hour weeks Mon to Fri and gets PTO

Nor is the "high-growth" tech sector, which is notorious for long hours and de-facto little time off. The money might be good, but the lifestyle can be miserable.

You're working for billionaires instead of millionaires, but you're still in a situation where a "?" from the top means you've got to hustle.

Re: Agatha Christie could afford a maid and a nanny but not a car

#404

Agatha Christie's quote is well-known but the exact same situation still holds today in many countries. Here in Viet Nam it is extremely common for middle income families to have a maid or nanny (or both) but not a car. The cars themselves are quite expensive. A Honda Civic is $33,000 by itself whereas a nanny (6-days a week, 10 hours a day) is $400-500/month and a maid who works 9 hours a week, i.e. 3 days a week, 3…

> Even worse, most houses (unless they are luxury houses >$500,000 built in the last 5ish years) aren't built with a garage for a car, so you're looking at buying land, smashing down the existing structure, and then rebuilding something with a garage.

I don't know if this is meant to be serious, but you could just park your car outdoors, like city dwellers do?

Re: Agatha Christie could afford a maid and a nanny but not a car

#405

Earlier quoted context omitted.

"private property is subordinate to the common good" is even in our "Constitution" (grundgesetz, literally foundational law), although it has been neutered by precedent and other laws. The right of way is a concept which is still strong in a bunch of countries, including England and famously Norway where "Allemansretten" allows "all men" the right to camp in public spaces. I personally find these habitual rights an i…

> The right of way is a concept which is still strong in a bunch of countries, including England and famously Norway where "Allemansretten" allows "all men" the right to camp in public spaces. This is like saying France and the US both have freedom of speech. Technically true but the difference in how strong the laws are between Nordic countries and England is enormous.

This is a great post. When I moved away from the United States, and started to learn -- in earnest -- about other countries, I was surprised to learn about "freedom of speech" in other highly-developed, liberal democracies. Two specific things come to mind: slander/defamation/blasphemy and pro-Nazi (German National Socialist) material. Initially, I was aghast -- "Why isn't 'everything' allowed?". Over time, I began to understand that each nation and society needs to define their own version of "freedom of speech" -- and what it means to be a liberal democracy. As a good example: Read the Wiki page for Geert Wilders. He is a hateful person who says many dreadful, discriminatory things. More than once, he has lost court trials in Nederlands over hate speech. I recall once that he was fined zero euros. Complex! And, there are some nations where it feels like they voluntarily use "freedom of speech" less than Europe/US/CAN/AU/NZ/SouthAmerica -- like East Asia (Taiwan, Japan, South Korea) and Southeast Asia (Thailand, Malaysia, and Indonesia -- don't get me started about Singapore!) And South Asia (India, Sri Lanka, etc.) are so culturally diverse and complex that I cannot begin to generalise.

You wrote: >

I am sure you were thinking of a specific example when you wrote this post! Can you share it? It would be nice to learn.

Re: Agatha Christie could afford a maid and a nanny but not a car

#406
post #402

Earlier quoted context omitted.

The transaction itself is not zero sum. The existence of the transaction itself is proof that both parties value what they received more than what they gave away (otherwise they would not have transacted). The waste of time is having to haggle to arrive at the price, when the price could have been published. It benefits nobody, because that's the price the transaction would have happened at anyway. But we have to do…

> It benefits nobody, because that's the price the transaction would have happened at anyway. But this is not true. Haggling is price discovery. Either way, I think this is mostly a cultural thing that's lost on a lot of westerners.

> Haggling is price discovery

Yes, the issue is that the price does not need to be discovered. The seller knows the "real" price, and is just hopping to screw over the buyer.

Re: Agatha Christie could afford a maid and a nanny but not a car

#407

Earlier quoted context omitted.

The more educated people, the more educated people doing menial tasks for other people. Menial tasks have to get done.

And they end up getting done by people themselves, in much of the developed world.

No, they end up getting done by armies of gig workers.

Re: Agatha Christie could afford a maid and a nanny but not a car

#408

Earlier quoted context omitted.

Ditches still have to be dug.

What I wrote does not preclude ditches being dug, or being a ditch digger. What it does is prevent ditch digging from being one of the few options for many people which result in ditch digging labor prices to be very low. You give people opportunities to do many more things than menial labor, then that allows the price for menial labor to rise so that it is not done by the “lower” socioeconomic rungs.

This is a good argument, IMO. The main dangers I see are of status-signaling "non-skills" dominating education, and of overall malinvestment in skills that aren't needed.

Re: Agatha Christie could afford a maid and a nanny but not a car

#409

Earlier quoted context omitted.

Given our history, I was assuming there was some expectation that duties might also include requests of a sexual nature. I really hope that's not the case. But we (rich white people) don't exactly have a good track record in these types of situation. :(

No need to racially charge it - sexually exploiting servants is a universal. Curiously, you said “rich white people” forgoing the one prejudice that actually does predict sexual exploitation - men!

Yes, it is sadly common in Hongkong and Saudia Arabia with domestic helpers. I have heard numerous first-hands accounts about it.

Re: Agatha Christie could afford a maid and a nanny but not a car

#410
post #77

Earlier quoted context omitted.

In Egypt, that's true unless you haggle. You can always haggle to get close to Egyptian prices, but if I didn't have my friend with me to show me how to do that, I would have paid American prices the whole trip. I'm sure a lot of places work similarly. At the end of the day, they want to make a sale, doesn't matter who you are just what they think you'll pay.

Funny, I found shop vendors from some Arabic cultures would almost become offended if you _didn't_ barter with them -- at least if they knew you weren't just a tourist. For the (American) tourists wandering through they'd suck it up and just charge them 10x the price. ;)

You wrote: >

I have also heard the same, but I have zero native-level understanding of any Middle Eastern cultures. Could anyone who lives in the Middle East / North Africa / Horn of Africa comment? I would appreciate any first hand accounts about this stereotype. It's OK if you teach us that it's all "travel guide bullshit"!

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