Re: In presidential runoff, Peruvians choose between a Fuj...

[Guest guest]

What the people in Peru don't understand is that first stage production materials be they metal ores, agricultural produce, animal products, etc., have a low value. To make them of value you have to do something with them. If the ore is smelted into pure metal in the country then that will be value added. That said, only a few people will directly benefit, that being the plant owners, stock holders and the workers at the plant. Money will then flow out into the rest of the economy but not every is going to see a big jump in standard of living.

They seem to think that just because there is some economic activity going on that everyone should be rich or get a slice. That doesn't work. The more people who lay claim on the profits when they have nothing at all to do with the company simply reduces the effectiveness of the company and it will likely close.

The leftist will probably win and he'll proceed to wreck the economy in a few years. Those poor people will love him at first when he starts throwing around handouts, but what will they think in a few years when it falls apart?

In a message dated 6/5/2011 1:05:58 P.M. Eastern Daylight Time, no_reply writes:

In presidential runoff, Peruvians choose between a Fujimori and a leftist military man

[Guest guest]

" What the people in Peru don't understand is that first stage production

materials be they metal ores, agricultural produce, animal products, etc., have

a low value. To make them of value you have to do something with them. If the

ore is smelted into pure metal in the country then that will be value added.

That said, only a few people will directly benefit, that being the plant owners,

stock holders and the workers at the plant. Money will then flow out into the

rest of the economy but not every is going to see a big jump in standard of

living. "

The more they can do with those materials in their own country, the richer they

will get. Al they need to do to learn this lesson is look at the US, where we

export everything and have everything built overseas. There are no jobs here,

and we are on our way to becoming a poor country.

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