Quotulatiousness

April 14, 2016

Why there’s very little “free trade” involved in the TPP

ESR explains why the Trans-Pacific Partnership is such a huge monstrosity of regulations, crony capitalist favours to big business, anti-consumer intellectual property rules, and other mercantilist interventions in trade:

Today there’s a great deal of angst going on in the tech community about the Trans-Pacific Partnership. Its detractors charge that a “free-trade” agreement has been hijacked by big-business interests that are using it to impose draconian intellectual-property rules on the entire world, criminalize fair use, obstruct open-source software, and rent-seek at the expense of developing countries.

These charges are, of course, entirely correct. So here’s my question: What the hell else did you expect to happen? Where were you idiots when the environmentalists and the unions were corrupting the process and the entire concept of “free trade”?

The TPP is a horrible agreement. It’s toxic. It’s a dog’s breakfast. But if you stood meekly by while the precedents were being set, or – worse – actually approved of imposing rich-world regulation on poor countries, you are partly to blame.

The thing about creating political machinery to fuck with free markets is this: you never get to be the last person to control it. No matter how worthy you think your cause is, part of the cost of your behavior is what will be done with it by the next pressure group. And the one after that. And after that.

The equilibrium is that political regulatory capability is hijacked by for the use of the pressure group with the strongest incentives to exploit it. Which generally means, in Theodore Roosevelt’s timeless phrase, “malefactors of great wealth”. The abuses in the TPP were on rails, completely foreseeable, from the first time “environmental standards” got written into a trade agreement.

That’s why it will get you nowhere to object to the specifics of the TPP unless you recognize that the entire context in which it evolved is corrupt. If you want trade agreements to stop being about regulatory carve-outs, you have to stop tolerating that corruption and get back to genuinely free trade. No exemptions, no exceptions, no sweeteners for favored constituencies, no sops to putatively noble causes.

April 13, 2016

QotD: Why do gasoline prices rise at the moment crude oil prices rise?

Filed under: Business, Economics, Quotations — Tags: — Nicholas @ 01:00

One part of the explanation is that gasoline refiners are likely now switching to the production of summer-grade mixes, which are more costly to produce than are winter grades. But even if such switching is not taking place, we nevertheless expect prices at the pump to rise the moment crude-oil prices start to rise regardless of the prices that gasoline retailers paid for the fuels that they are currently selling. Furthermore, it’s good that prices at the pump rise as soon as crude-oil prices start to rise.

The reason […] is that markets are forward looking. If crude-oil prices start to rise today, this fact means that crude oil is today more scarce, relative to anticipated demand, than it was yesterday. Given this reality, we want consumers to start immediately to economize further on their use of gasoline, and we want refiners to have adequate incentives to refine enough gasoline to satisfy consumers’ anticipated future demands. Rising prices at the pump today promote both of these desirable responses.

But there’s an even deeper point: the value of something is not what the owner of that something paid for it or what it cost the producer of that something to produce it. Instead, the value of something is what people are willing to pay for it. And there’s nothing at all unfair or economically harmful about an owner of something selling that something for more than he or she paid for it. Suppose that today you buy 10 shares of Apple, Inc., at $100 per share. Further suppose that one year from today the price of Apple stock rises to $150 a share. Would you be wrong or unethical to sell your shares next year at $150 a share (or at any price higher than $100 a share)? After all, you paid only $100 a share to get them.

Of course you would not be wrong to sell your shares at a price higher than what you paid for them. What’s true for you and your Apple shares is true for all economic goods.

Donald J. Boudreaux, “Markets Are Forward Looking (And That’s Good)”, Cafe Hayek, 2016-03-18.

April 11, 2016

Clarkson’s Car Years – How Japan Took Over The World… And Then Lost It.

Filed under: Business, Japan — Tags: , , , , — Nicholas @ 02:00

April 10, 2016

QotD: Big business

Filed under: Business, Humour, Quotations, Religion, USA — Tags: , , , — Nicholas @ 01:00

If you still believe big business is, as novelist and philosopher Ayn Rand famously described it, “America’s Persecuted Minority,” then you must be on the same amphetamines she was taking.

Conservatives have a nasty habit of being sympathetic to corporations, viewing them as a bulwark against government overreach. The reality is far different. If you’re a religious traditionalist in 21st-century America, big business hates your guts.

James E. Miller, “The Business End of Freedom”, Taki’s Magazine, 2016-03-31.

April 2, 2016

Canada’s new frontier in patriotism: ketchup

Filed under: Business, Cancon, Economics, Politics — Tags: , , , — Nicholas @ 02:00

Colby Cosh gently pokes fun at the latest outbreak of manufactured patriotic fervor:

An enterprising Toronto man wants to sell us all “Ketchup Patriot” T-shirts, so that the virtuous among us might assert the correct position on the hot issue of whether it is right to eat products made with dubious foreign tomatoes.

This presents me with a dilemma: I agree with the many words already written in this space, and in the Financial Post, about the preposterousness of tomato isolationism; on the other hand, I am pretty sure our future as a country has less to do with mid-grade agricultural products destined for pureeing than it does to do with insta-auto-robo-printing of faddish social-signalling paraphernalia. You have to admire the spirit of enterprise wherever it emerges. The best answer ever given to Che Guevara’s philosophy was the Che Guevara T-shirt.

The “Ketchup Patriot” view favours French’s brand ketchup, which is now made from tomatoes grown in the area around Leamington, Ont. Leamington is practically a creation of the H.J. Heinz Co., which was a major employer there for decades, but fled to the United States in 2014. Few Canadians are employed in the growing of tomatoes, mind you: migrant workers flown into local dormitories and paid around $10 an hour seem to do most of the hard work on Leamington-area farms and in greenhouses.

French’s, best known for selling mustard, is owned by the Reckitt Benckiser Group PLC of Slough, Berkshire. This “Ketchup Patriotism,” the closer you look at it, becomes more and more a matter solely of dream terroir. Canadians don’t get the profits, don’t pick the tomatoes and don’t even can the ketchup — that happens in Ohio, although French’s, obviously aware that it has a whole country by the tail, has hinted at plans to open a new cannery somewhere in Ontario. All we do, for the moment, is own the land. This ketchup has a mystical Canadian essence, one I defy anyone to detect in a blind taste test.

One may not detect the “distinctive Canadian ‘terroir'”, but having actually tasted Heinz and French’s products, there’s a reason that Heinz is the default ketchup for most people.

March 30, 2016

“Craft” brewers that are actually owned by big breweries

Filed under: Business, USA — Tags: , — Nicholas @ 02:00

Matt Allyn lists quite a number of craft breweries in the United States that are no longer independent or were never independent of the big brewing corporations:

It matters who owns your beer, says Carol Stoudt, founder of Stoudt’s Brewing, “The passion is lost when the people running a brewery don’t have ownership, and then quality suffers.” A bigger concern, one echoed by brewers like Stoudt and Dogfish Head’s Sam Calagione is that the larger companies also have the power to manipulate markets. The chief example, one cited by Calagione, is that corporate brewers will sell their craft-like ale well below the cost of true craft beer to push them off a bar tap line.

The Brewers Association trade group defines a craft brewer as small (less than six million barrels), traditional, and independent — with less than 25 percent ownership by a non-craft brewer.

Here are the current “craft” brewers who don’t meet that ownership criterion:

10 Barrel Brewing — Anheuser-Busch InBev

Ballast Point Brewing — Constellation Brands

Blue Moon Brewing — MillerCoors

Blue Point Brewing — Anheuser-Busch InBev

Breckenridge Brewery — Anheuser-Busch InBev

Camden Town Brewery (U.K.) — Anheuser-Busch InBev

Cervejaria Colorado (Brazil) — Anheuser-Busch InBev

Dundee Brewing — North American Breweries

Elysian Brewing — Anheuser-Busch InBev

Fordham and Dominion Brewing — 40 percent owned by Anheuser-Busch InBev

Founders Brewing — 30 percent owned by Mahou-San Miguel

Four Peaks Brewing — Anheuser-Busch InBev

Golden Road Brewing — Anheuser-Busch InBev

Goose Island Beer Company — Anheuser-Busch InBev

Kona Brewing — 32-percent owned by Anheuser-Busch InBev

Lagunitas Brewing — 50-percent owned by Heineken International

Leinenkugel’s Brewery — MillerCoors

Magic Hat Brewing — North American Breweries

Meantime Brewing (U.K.) — SABMiller

Mendocino Brewing — United Breweries Group

Olde Saratoga Brewing — United Breweries Group

Portland Brewing Company (formerly MacTarnahan’s) — North American Breweries

Pyramid Breweries — North American Breweries

Redhook Brewery — 32-percent owned by Anheuser-Busch InBev

Saint Archer Brewing — MillerCoors

Shock Top Brewing — Anheuser-Busch InBev

Widmer Brewing — 32-percent owned by Anheuser-Busch InBev

March 29, 2016

Why did Apple suddenly grow a pair over consumer privacy and (some) civil rights?

Filed under: Business, Technology, USA — Tags: , , , , , — Nicholas @ 03:00

Charles Stross has a theory:

A lot of people are watching the spectacle of Apple vs. the FBI and the Homeland Security Theatre and rubbing their eyes, wondering why Apple (in the person of CEO Tim Cook) is suddenly the knight in shining armour on the side of consumer privacy and civil rights. Apple, after all, is a goliath-sized corporate behemoth with the second largest market cap in US stock market history — what’s in it for them?

As is always the case, to understand why Apple has become so fanatical about customer privacy over the past five years that they’re taking on the US government, you need to follow the money.

[…]

Apple see their long term future as including a global secure payments infrastructure that takes over the role of Visa and Mastercard’s networks — and ultimately of spawning a retail banking subsidiary to provide financial services directly, backed by some of their cash stockpile.

The FBI thought they were asking for a way to unlock a mobile phone, because the FBI is myopically focussed on past criminal investigations, not the future of the technology industry, and the FBI did not understand that they were actually asking for a way to tracelessly unlock and mess with every ATM and credit card on the planet circa 2030 (if not via Apple, then via the other phone OSs, once the festering security fleapit that is Android wakes up and smells the money).

If the FBI get what they want, then the back door will be installed and the next-generation payments infrastructure will be just as prone to fraud as the last-generation card infrastructure, with its card skimmers and identity theft.

And this is why Tim Cook is willing to go to the mattresses with the US department of justice over iOS security: if nobody trusts their iPhone, nobody will be willing to trust the next-generation Apple Bank, and Apple is going to lose their best option for securing their cash pile as it climbs towards the stratosphere.

March 20, 2016

Apple software engineers threaten to quit rather than crack encryption for the government

Filed under: Business, Government, Liberty, Technology, USA — Tags: , , , , — Nicholas @ 02:00

It’s only a rumour rather than a definite stand, but it is a hopeful one for civil liberties:

The spirit of anarchy and anti-establishment still runs strong at Apple. Rather than comply with the government’s requests to develop a so-called “GovtOS” to unlock the iPhone 5c of San Bernardino shooter Syed Rizwan Farook, The New York Times‘ half-dozen sources say that some software engineers may quit instead. “It’s an independent culture and a rebellious one,” former Apple engineering manager Jean-Louis Gassée tells NYT. “If the government tries to compel testimony or action from these engineers, good luck with that.”

Former senior product manager for Apple’s security and privacy division Window Snyder agrees. “If someone attempts to force them to work on something that’s outside their personal values, they can expect to find a position that’s a better fit somewhere else.”

In another instance of Apple’s company culture clashing with what the federal government demands, the development teams are apparently relatively siloed off from one another. It isn’t until a product gets closer to release that disparate teams like hardware and software engineers come together for finalizing a given gizmo. NYT notes that the team of six to 10 engineers needed to develop the back door doesn’t currently exist and that forcing any sort of collaboration would be incredibly difficult, again, due to how Apple works internally.

March 18, 2016

QotD: The war on competence

Filed under: Books, Business, Media, Quotations, USA — Tags: , — Nicholas @ 01:00

There is a war on. People who can do things, even just the things our parents could do, or less, are losing.

[…]

But there is worse. Lately I’ve been running into a new category “people who can’t do their jobs.” And these aren’t just our manual labor imports, I mean, people who supposedly are trained and certified and either can’t or won’t do their jobs.

I know everyone was very impatient with me last year when I was fixing the house for sale, but honestly, there is a reason I do all the manual labor I can. The reason is the tile wall I paid someone 1500 to fix (it had fallen. Long story) and which fell in the night, the day after he put it up. He’d mixed the adhesive wrong. So he came back and fixed it. It fell again. The third time I got a book (this was before Youtube) figured how to do it and did it. This wasn’t an isolated incident. It just keeps happening when someone comes over to fix something. So if I can, I do it.

But there’s more serious cases, like the guy who replaced our brakes but didn’t replace the brake cables. Leading to us losing brake power 15 minutes later. (Thank G-d someone was looking out for us. We lost it a) when Dan was driving. I’d have panicked. Well, he did too, but… he works even panicked. b) we were JUST outside a garage c) we’d been going very slowly.) Or the doctor who convinced himself my 13 year old had an STD and wouldn’t listen to the kid when he insisted he was a virgin. If I hadn’t gone over his head to a urologist, and told the boy to stop taking the antibiotic that was making him ill, my son would probably have died within months. (Of the problem, which was rare, but not unheard of particularly in early teens. As in the urologist identified it on symptoms alone.)

I’ve been given completely wrong instructions by someone selling me a machine or a product. I’ve had ghastly things done to garments or objects taken in for repair because the person who was supposedly an expert on this just couldn’t do it.

[…]

Publishing… well, there’s a reason the houses are floundering. And it’s not just the innovation, the end of push marketing, or the fact they can’t wrap heads around Amazon. That’s all I’ll say. Every time someone tells me they can’t go indie because how do they know the book is good if no professional has read it, I remember when I was sitting in a panel with the editor of my friend’s book, (professional, one of the big five) and it became clear not only hadn’t she read the book, but she had only skimmed the proposal. I later watched for the tells and (other than Baen) most of my books were published without anyone but the copyeditor even looking at them. And the copyeditor often sounded like she (it was always a she) had a high school education, even the ones editing history books.

Movie making. Director’s cuts are illuminating. “I filmed that scene, then it didn’t work. I don’t know why” — usually the reason is a gross error in basic storytelling. One anyone who had read a couples of plotting books could fix. But billionaires in Hollywood have no clue. They were never trained.

Sarah Hoyt, “The War On Competence”, According to Hoyt, 2016-03-04.

March 3, 2016

The economic consequences of sustained cheap oil

Filed under: Business, Economics — Tags: , , — Nicholas @ 02:00

Tim Harford explains why cheaper oil is generally speaking good for the economy:

After years in which $100 oil was the norm, the price of Brent crude is now around a third of that. Assume for a moment that Russia and Saudi Arabia fail in their efforts to get the price back up. Will $30 oil change the world? The answer is yes, of course. Everything is connected to everything else in economics, and that is particularly true when it comes to oil. For all the talk of the weightless economy, we’re not quite so post-industrial as to be able to ignore the cost of energy. Because oil is versatile and easy to transport, it remains the lubricant for the world’s energy system.

The rule of thumb has always been that while low oil prices are bad for the planet, they’re good for the economy. Last year a report from PwC estimated that a permanent fall in the price of oil by $50 would boost the size of the UK economy by about 1 per cent over five years, since the benefits — to most sectors but particularly to heavy industry, agriculture and air travel — would outweigh the costs to the oil production industry itself.

That represents the conventional wisdom, as well as historical experience. Oil was cheap throughout America’s halcyon years of the 1950s and 1960s; the oil shocks of the 1970s came alongside serious economic pain. The boom of the 1990s was usually credited to the world wide web but oil prices were very low and they soared to record levels in the run-up to the great recession. We can debate how important the oil price fluctuations were but the link between good times and cheap oil is not a coincidence.

Here’s a piece of back-of-the-envelope economics. The world consumes nearly 100 million barrels a day of oil, which is $10bn a day — or $3.5tn a year — at the $100 price to which we’ve become accustomed. A sustained collapse in the oil price would slice more than $2tn off that bill — set against a world economic output of around $80tn, that’s far from trivial. It is a huge transfer from the wallets of oil producers to those of oil consumers.

March 1, 2016

BrewDog releases all their beer recipies

Filed under: Britain, Business — Tags: , — Nicholas @ 02:00

Lester Haines on the recent decision by BrewDog to open source their entire beer recipie list:

From humble home-brewing origins, James Watt and Martin Dickie have grown BrewDog to an international craft beer operation. Along the way, they’ve claimed the “world’s strongest beer” title twice, firstly with the 41 per cent ABV Sink The Bismarck!, and then with the liver-bashing 55 per cent ABV The End of History.

The recipes for both (albeit with somewhat less lethal ABVs) are available on BrewDog’s “DIY Dog” PDF (see here), along with other tempting tipples such as Tactical Nuclear Penguin and Albino Squid Assassin.

BrewDog - Sink the Bismark

February 26, 2016

QotD: The odd persistence of regional food

Filed under: Business, Quotations, USA — Tags: , — Nicholas @ 01:00

Philadelphians laugh at the pathetic imitations of “Philly steaks” offered elsewhere for the same reason Texans laugh at barbecue made north of the Mason-Dixon line. And both groups are right to laugh. It just ain’t the same.

Every time I order up a mess of barbecue at a place like Rudy’s or County Line or Dick’s Last Resort I think to myself “Someday, one of these barbecue outfits has got to start offering decent bread. Their sales would go through the roof.” I’ve been waiting for the market to correct this problem for more than twenty years now — and it hasn’t happened. And thereby hangs a mystery.

The mystery is the curious persistence of regional food differences in a country with cheap transport and the best communications network in the world. There are places in the U.S. where you can reliably get really good bread — mostly the coastal metroplexes. There are places you can get real barbecue, in the heartland South and Southwest. And these zones just don’t overlap. (Yes, they have a gourmet-bread bakery in Austin. I suspect, if I went there, I’d find it a lot like the Chinese food in Ann Arbor — impressive to the locals, maybe, but only because their standards are so low.)

I could multiply examples. Sourdough bread — I’ve had it everywhere you can get it and it just doesn’t taste right outside of San Francisco. The East Coast versions are competent, but lack some subtle tang. Yeast strain? Something in the water? Who knows?

Cheesecake. There’s a good one. Anybody who has lived in New York won’t touch most cheesecake made elsewhere at gunpoint, and with good reason. Next to a traditional New-York-style baked cheesecake (the kind you can stand a fork in because it has the approximate density of neutronium) all others are a sort of pathetic, tasteless cheese gelatin. In this case the recipe is clearly what matters.

Or deep-dish pizza. Try to get that done right anywhere but Chicago. Good luck. Actually, the Philly/South Jersey area may be the only other part of the U.S.that can almost make this nut, and our thin-crust pizza is better. But why? Why don’t the good techniques go national and drive out the weaker competition?

The obvious answer would be that nationwide, tastes differ too much for one regional variant to dominate. But many cases there isn’t even any dispute about where the best variant comes from; the superiority of “New York style” cheesecake. for example, is so universally understood that restaurants elsewhere often bill their cheesecake that way even when it’s actually half-composed of “lite” garbage like ricotta or cottage cheese. Nobody who has ever tasted one doubts that Philly steaks are the acme of the art. And nobody — but nobody — who can get both passes up Texas barbecue for what they make in New Haven or Walla Walla.

So you’d think that the market would have propagated Texas slow-cooking, San Francisco yeast starters and the Philly steak roll all over the country by now. But some food technologies travel better than others, and some seem curiously unable to thrive outside their native climes. Cheesecake recipes may survive transmission relatively well, but the mysteries of good barbecue are subtle and deep. Pizzas rely on elaborate oven and dough-mix technology that probably tends to conserve regional variations simply because it’s too capital-intensive to mess with casually.

I’ve meditated on the matter and still can’t decide whether I think that’s a good thing or not. The approved thing for travel writers to do is wax lyrical about the wonderfulness of regional variety, as if it would somehow fail to be an improvement in the world if I could get decent bread with my barbecue. The hell with that kind of sentimentality; I’d rather have a better meal.

But there’s a point buried there somewhere — something that isn’t about the bread or the barbecue, but about what it feels like to sit in a dusty roadside joint like Rudy’s, surrounded by cases of Red Pop and overweight rednecks in tractor caps and checked shirts, with the food of the gods melting in your mouth, and thinking “Damn, this place is tacky, but I hope it lives forever.”

Eric S. Raymond, “The Non-Portability of Barbecue”, Armed and Dangerous, 2002-07-18.

February 17, 2016

The “Great Cauliflower Crisis” of 2016

Filed under: Business, Cancon, Economics — Tags: , — Nicholas @ 03:00

Colby Cosh writes the epitaph for that terrible month of January 2016, when the people were sorely oppressed by the Great Cauliflower Crisis:

I must have been assured a dozen times that peak cauliflower was a dark foretaste of the New Normal, a state of permanent food uncertainty in a ravaged world of shattered supply chains and sporadic kohlrabi riots. It turns out we are, for the moment, still living in the Old Normal: food is cheap and plentiful, far more so than it was even for our parents, but there are still very occasional kinks in our system of delivering fresh produce to our tables year-round, kinks that the market can usually sort out given a few weeks.

[…]

You will note that this price event had nothing to do with climate change per se, or even with the chronic drought conditions that have existed in California for the past few years. That did not discourage anybody who was already disposed to mutter about how California is doomed, or about how the whole planet is. Others who have collapsitarian/“prepper”/millenarian streaks shook their heads and saw the first inklings of the logistical breakdown that is always just about to devour the world.

And the “food security” people: oh, they had a field day. That phrase seems to mean something different every time I see it used; often “food insecurity” is a near-synonym for “being broke.” But if you are “food insecure” in that sense of the term, fresh cauliflower should probably not be a staple of your cooking in the first place. Depend on beans, potatoes, and whatever’s on sale, and let the paleo nerds fight for cauliflower until their madness evolves into another form. Honestly, the stuff can be surprisingly wonderful if prepared right, but you have to be kidding yourself a little bit to consider it positively delightful, don’t you?

February 14, 2016

QotD: President Herbert Hoover’s lasting economic legacy

Until March 1933, these were the years of President Herbert Hoover — the man that anti-capitalists depict as a champion of non-interventionist, laissez-faire economics.

Did Hoover really subscribe to a “hands off the economy,” free-market philosophy? His opponent in the 1932 election, Franklin Roosevelt, didn’t think so. During the campaign, Roosevelt blasted Hoover for spending and taxing too much, boosting the national debt, choking off trade, and putting millions of people on the dole. He accused the president of “reckless and extravagant” spending, of thinking “that we ought to center control of everything in Washington as rapidly as possible,” and of presiding over “the greatest spending administration in peacetime in all of history.” Roosevelt’s running mate, John Nance Garner, charged that Hoover was “leading the country down the path of socialism.” Contrary to the modern myth about Hoover, Roosevelt and Garner were absolutely right.

The crowning folly of the Hoover administration was the Smoot-Hawley Tariff, passed in June 1930. It came on top of the Fordney-McCumber Tariff of 1922, which had already put American agriculture in a tailspin during the preceding decade. The most protectionist legislation in U.S. history, Smoot-Hawley virtually closed the borders to foreign goods and ignited a vicious international trade war.

Officials in the administration and in Congress believed that raising trade barriers would force Americans to buy more goods made at home, which would solve the nagging unemployment problem. They ignored an important principle of international commerce: trade is ultimately a two-way street; if foreigners cannot sell their goods here, then they cannot earn the dollars they need to buy here.

Foreign companies and their workers were flattened by Smoot-Hawley’s steep tariff rates, and foreign governments soon retaliated with trade barriers of their own. With their ability to sell in the American market severely hampered, they curtailed their purchases of American goods. American agriculture was particularly hard hit. With a stroke of the presidential pen, farmers in this country lost nearly a third of their markets. Farm prices plummeted and tens of thousands of farmers went bankrupt. With the collapse of agriculture, rural banks failed in record numbers, dragging down hundreds of thousands of their customers.

Hoover dramatically increased government spending for subsidy and relief schemes. In the space of one year alone, from 1930 to 1931, the federal government’s share of GNP increased by about one-third.

Hoover’s agricultural bureaucracy doled out hundreds of millions of dollars to wheat and cotton farmers even as the new tariffs wiped out their markets. His Reconstruction Finance Corporation ladled out billions more in business subsidies. Commenting decades later on Hoover’s administration, Rexford Guy Tugwell, one of the architects of Franklin Roosevelt’s policies of the 1930s, explained, “We didn’t admit it at the time, but practically the whole New Deal was extrapolated from programs that Hoover started.”

To compound the folly of high tariffs and huge subsidies, Congress then passed and Hoover signed the Revenue Act of 1932. It doubled the income tax for most Americans; the top bracket more than doubled, going from 24 percent to 63 percent. Exemptions were lowered; the earned income credit was abolished; corporate and estate taxes were raised; new gift, gasoline, and auto taxes were imposed; and postal rates were sharply hiked.

Can any serious scholar observe the Hoover administration’s massive economic intervention and, with a straight face, pronounce the inevitably deleterious effects as the fault of free markets?

Lawrence W. Reed, “The Great Depression was a Calamity of Unfettered Capitalism”, The Freeman, 2014-11-28.

February 11, 2016

QotD: Dissing Wal-Mart as a cultural signalling device

Filed under: Business, Economics, Politics, Quotations, USA — Tags: , , , — Nicholas @ 01:00

There’s no sign of it here in Magnolia, Ark., but the boycott season is upon us, and graduates of Princeton and Bryn Mawr are demanding “justice” from Wal-Mart, which is not in the justice business but in the groceries, clothes, and car-batteries business. It is easy to scoff, but I am ready to start taking the social-justice warriors’ insipid rhetoric seriously — as soon as two things happen: First, I want to hear from the Wal-Mart-protesting riffraff a definition of “justice” that is something that does not boil down to “I Get What I Want, Irrespective of Other Concerns.”

Second, I want to turn on the radio and hear Jay-Z boasting about his new Timex.

It is remarkable that Wal-Mart, a company that makes a modest profit margin (typically between 3 percent and 3.5 percent) selling ordinary people ordinary goods at low prices, is the great hate totem for the well-heeled Left, whose best-known celebrity spokesclowns would not be caught so much as downwind from a Supercenter, while at the same time, nobody is out with placards and illiterate slogans and generally risible moral posturing in front of boutiques dealing in Rolex, Prada, Hermès, et al. It’s almost as if there is a motive at work here other than that which is stated by our big-box-bashing friends on the left and their A-list human bullhorns.

What might that be?

Kevin D. Williamson, “Who Boycotts Wal-Mart? Social-justice warriors who are too enlightened to let their poor neighbors pay lower prices”, National Review, 2014-11-30.

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