From: thomson%jensen.cs.utah.edu@cs.utah.edu (Rich Thomson)
Subject: Re: "New Right" Libertarians?
Date: 11 Jan 93 17:42:50 MST
Organization: Computer Science Department, University of Utah, SLC, UT

In article <1993Jan11.194229.5773@s1.gov>
	lip@s1.gov (Loren I. Petrich) writes:
>In article <robc.18.0@wicat> robc@wicat (Rob Carlson) writes:
>>	Or you could start one of these companies:
>>	1. A taxi service to shuttle people to and from the airport.
>
>	You have to buy the taxi(s), and hire drivers if you want to
>have more than one taxi in service.

People could voluntarily associate into a taxi company, where they all
carried the same logo on the side of the car, etc.  They could use
their own cars (used cars that are safe and clean aren't that
expensive) and personal liability insurance to cover the passengers.

If you have a well-thought out business plan, local banks are often
willing to lend you start-up costs so you can start a business.
Venture capitalists are another option, being a form of private
lending.

However, in the case of a taxi business, I think you will find that
most governments regulat the taxi business so comprehensively that
competing with the existing suppliers is nearly impossible.  This is
an example of how regulation limits competition.

>>	2. A parking lot where people could store their cars while they are 
>>	   away.
>
>	To build one, you need to flatten some land and pour asphalt
>over it and paint marking lines on it. Not a one-person job.

Who says it has to be a "one-person job"?  Libertarianism is not the
same thing as individualism, i.e. doing everything yourself.  You seem
to think that if I am going to start a business I must do everything
myself and I must be able to do it with $0.  I suspect you haven't
ever investigated what it takes to start a business.

>>	3. A security business that would protect people's homes while they 
>>	   are using the airport.
>
>	You need a warehouse to store the security devices and
>installers to go out to people's homes.

Huh?  What if I just license myself out as a personal security guard
and contract with the person to "stake out" their home by taking care
of it while they're gone?  In this case, the only thing I need to put
into my "startup costs" are communicating with the customer (could be
as simple as a single phone call) and a reputation for fraudless
operation (could be as simple as a recommendation by a friend of the
homeowner).

>>	4. A programming business that provides scheduling info for the 
>>	    airline.
>
>	Need a personal computer with a hard disk, need to do
>marketing studies, and so forth to determine where people travel.

There are plenty of programs that have been put on the market and been
successful without market studies.  In fact, many programs just
happened to "be in the right place at the right time" (vis-a-vis
VisiCalc, PFS:Write, etc).

>	These examples still have something in common: startup costs,
>though not as great as for a whole airline. But their smaller size
>makes competition easier, as I will concede. Unless (say) one taxi
>company hires goons to keep competing taxis out of the airport
>terminal.

See above about taxi businesses.  The existing company gives money to
legislators to do the dirty work for them through regulation.

The fallacy of your whole argument is that to start a business, I must
go out and build a resort or an airport.  I suggest you read up on
some of the most successful entrepreneurs that built large business
empires and see how they did it.  A good place to start would be Sam
Walton.

>	I'm not complaining about any such thing. But can one person
>alone with the typical wealth of a middle-class person start some big
>operation all alone?

First: Why must they start a "big operation"?   Why can't they build a
    big operation from a small one?  That is how every "big operation"
    I've ever known about has been created (exceptg big government which
    can be created with the stroke of a pen and the taxpayer's money).

Second: Why must they create it "all alone"?  Every small business
    I've known about has been created by a group of people, each seeing it
    in their own interest to put in the hard work and effort it takes to
    make a business succeed.

						-- Rich
-- 
		    Don't blame me; I voted Libertarian
Internet: thomson@asylum.cs.utah.edu		Rich Thomson
IRC: _Rich_					PEXt Programmer
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