Thursday, April 30, 2015

Anti-Trust Wonderland

I remember very distinctly taking Economics 1-A and the subsequent Economics 1-B with Instructor Ron Schulke back in the stone age at Santa Rosa Junior College. 

20+ years later I can still recite verbatim sections of his classroom lectures.  He raised some very interesting points that related to the business world.  At the time I was not sure as to exactly what he was referring to, but now as a battered veteran of American Business and quasi-capitalism I know exactly *why* he would lecture on a certain aspect of business, look at us half-smirking like "these idealistic, naive, youngsters think they have it figured out" and nod his head knowingly.

Yeah, he was right.  After having the real world kick us around, we experienced what he was talking about first hand.  He was an excellent instructor.  The books say one thing, which is kind of a model to follow, but real life is another.  He knew that.  We did not.  He knew we had to figure it out on our own.

Well, one thing is that "capitalists" claim they LOVE the invisible free hand of capitalism.  This is 'Merka...damn it.  We love our freedom, guns, God, and apple pie.  That is until competition comes along.  They love the invisible hand of capitalism until they are threatened by a competitor.  Wow!  They turn into dogs marking their territory and threaten any challenger.

Don't believe me?  We really are a nation that wants to be run by a cartel clique.  There are two very distinct business models -- large business and small business.  The goal of large businesses is to eliminate any competition and engage in what's called predatory pricing to drive their competitors out of business.  That's pretty much bad news for the local, little guy.  The local guy is so frustrated by rules, regulations, labor laws, etc., etc., etc., that he throws up his hands in frustration and sells out or closes up shop.  See, the large businesses are lining the pockets of the politicians to keep pumping out these obnoxious rules and regulations so the little guy HAS to close up because keeping up with all the government red tape finally did him in.  "Excellent," says Mr. Big Business,  "One more obstacle out of my way to total market domination and control."

"Excellent, " says Joe Politician, "One less business constituent to deal with and it makes me look like I'm doing something passing these stupid laws."

When you're a political puppet, you want as few puppet masters as possible.  Small businesses take note.... big business is NOT your political ally.  Consumers take note.  Your choices shape society.  We will all owe our souls to the company store before too much longer. 

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