From: larry@labrador.fishkill.ibm.com (Larry Pieniazek)
Subject: Re: cable tv
Date: Wed, 07 Oct 92 20:18:50 GMT
Distribution: usa
Reply-To: lar@vnet.ibm.com
Organization: IBM East Fishkill

In article <1992Oct7.180014.6572@netcom.com>, hrlaser@netcom.com (H.R.
Laser) writes:
> In article <1992Oct6.200050.3057@aio.jsc.nasa.gov>
Cessna@kn5f.jsc.nasa.gov (Mark T. Evert) writes:
> >
> >Hey, let's regulate McDonald's.  I love Big Mac's and McDonald's has a 
> >monopoly on Big Mac's.  I think they charge too much and I hate Burger 
> >King.   We need to regulate and set minimum standards for Big Mac's.
> >
> >Mark T. Evert
> >Friendswood, TX
> >
> >My opinions are strictly my own.
> 
> Your analogy is meaningless. Imagine that McDonalds is the only 
> restaurant in your town. In fact, imagine that it's the only source
> of food in your town.  In order to eat other food you have to 
> move to another town. Now imagine that McDonalds decides to start
> charging $5 for a Big Mac. Next month they up the price to $7. 
> Then $10. Then $12.  Are you gonna move or are you gonna ask for
> someone to control their prices?  And as far as setting minimum
> standards, since you only see the big white McDonald's supply truck
> pull in behind the building, and Big Macs come out the front door,
> aren't you the least curious as to what's in the ingredients
> if it isn't "100% pure beef"?  If the cooks get drunk and decide
> they want to piss into the vat of secret sauce, do you want someone
> to stop them? 
> 
> Some regulation of the cable companies is damn long overdue. 
> It's a shame that the House & Senate couldn't get their act
> together to override Bush's veto of more important legislation
> like the family leave bill.  My cable company's service stinks,
> the prices have constantly escalated for years, they're non-
> responsive and arrogant towards customer complaints and I'm
> happy as a clam that the Bush veto was overridden.
> 
> 
> 

Seems like you need another restaurant in your town rather than
regulation of the one you have. Your cure is worse than the disease.
What are the barriers to entry? If I come in and sell pseudo Big Macs
for USD $ 5.00 I bet I will make a mint.

What? You say that the local town council passed a law that McDonald's
has a monopoly on restaurants in your town and no one else can open one?

Gee. Sounds like that's the real problem. Government sponsored monopoly,
and now government is proposing more regulation to fix a problem THEY
caused.

Indiana springs to mind. In some communities there are exclusive franchises
and in some there aren't.

In communities where there are no barriers to entry, the same company
that charges 20.00 a month for the same channels where they have a monopoly
can only get away with around 7.00 or 8.00 since that is all their
competition charges. The Free Market(tm) works if you will just let it.

It doesn't matter WHAT industry you are talking about, the answer
is always the same. There just aren't any natural monopolies, in education,
in cable TV, in jewelry, in transport, in banking, on and on and on.
And if you let government bar entry, sure enough, you are gonna pay more
for less. Hope you like it.

-Lar

',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',','
`,` Democrat:    Give us your money. _We'll_ solve your problems. `,`
`,` Republican:  Give us your money. We'll ignore your problems.  `,`
`,` Libertarian: Keep your money. Solve your own problems.        `,`
',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',',','

Marrou/Lord in '92

#include <std_disclaim.h>
Xref: sparky alt.politics.bush:8164 alt.politics.clinton:9053 alt.politics.elections:15611