Obamacare is even less Consumer-Friendly than Cable/Television/Telephone Television

Posted by PITHOCRATES - April 17th, 2014

Week in Review

Currently there are no market forces in health care.  Which is why health care costs are so high.  When buyers and sellers meet they always agree on a price that makes them both feel like winners.  Just watch an episode of one of those pawn shop shows.  The seller wants a higher price.  The buyer wants to pay a lower price.  As they move towards each other they arrive at a price that makes them both happy.  The seller gets an amount of money he values more than the thing he’s selling.  And the buyer is getting something he values more than the money he’s paying for it.  Making them both feel like winners.

It’s not like this in health care.  Because there is a third party between the buyer and seller.  Either an insurance company.  Or the government.  Just like there is a third party between networks’ programming content and the consumer.  The cable/satellite/phone company (see Why Your Cable Bill Keeps Going Up by Evan Weiner posted 4/12/2014 on The Daily Beast).

The television networks and the television carriers, whether it’s through cable, satellite or phone lines, carriers seeming are always fighting these days over the cost of programming and what rights’ fees should be. The rights’ fee is what a television carrier pays for a networks programming. The carrier then passes that cost along to consumers and tacks on an additional fee because they too feel the need to be compensated for bringing the program into a home.

The injured party is the subscribers who have little course to affect the talks unless they decide to drop their provider for another, and there is no guarantee switching to another provider will end TV blackouts…

Thanks to the 1984 Cable TV Act, cable subscribers have really no say in what they want for their needs. The cable carrier was allowed to establish tiers of services. The consumer could take a local, basic tier alone or basic and basic extended but would have no choice in what they wanted to buy and were forced to take whatever the multiple system operative wants to give them or they opt out of having cable TV. The same apparently holds true for satellite TV and the phone companies.

Cable/satellite/telephone television is like Obamacare.  As consumers can’t keep the programming they liked and wanted to keep.  As it is for Obamacare.  Where people who had health insurance they liked and wanted to keep could not keep it.  Instead, a third party, the government, forced them to buy a tier of health insurance they did not want.  Only they do not have the option to opt out of Obamacare.  Because buying health insurance is mandatory.  Unlike cable/satellite/telephone television.  For as much as we may hate our cable/satellite/telephone companies at least we don’t have to buy from them under penalty of law.



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Personal Computer, Commodore 64, IBM PC, DOS, Macintosh, Mouse, GUI, Modem, Internet, HTML, URL and World Wide Web

Posted by PITHOCRATES - August 7th, 2012

History 101

The IBM PC operating DOS set one Standard for the Personal Computer

The first personal computer (PC) appeared in the Sixties.  (People called these first PCs ‘minicomputers’.  But we’ll use the term PC to cover all work and home single-user computer systems.)  These first PCs were little more than a programmable calculator.  Not very useful in most homes.  PCs got a little more useful in the Seventies.  The Commodore PET, the Apple II and Radio Shack TRS-80 hit store shelves in the Seventies.  And if you were a school boy without a girlfriend chances were that you were home playing games on these PCs.  Some were even writing programs.  So these PCs offered an exciting new world for geeks and nerds.  But offered little to their sisters and parents.

In the early Eighties one of the most popular PCs hit the market.  The Commodore 64.  Which offered better graphics.  And accessories like tape drives, disc drives, joy sticks and printers.  Allowing better gaming.  And the beginning of business programs.  Like a database program.  Sure, it was primitive.  And you needed a TV to use the Commodore 64.  But it was state of the art then.  Kids who played with these PCs gave up a lot of their youth to these machines.  But other than those fascinated by technology (and ardent fans of Star Trek), few others were interested in the PC in the early Eighties.  It just wasn’t anything the masses were demanding.

Then came the IBM PC.  This set one standard for the personal computer.  And we call every personal computer that uses the IBM platform a PC.  This PC came with its own monitor.  That was one color.  Monochromatic.  Either green.  Or amber.  The monitor sat on the computer box.  In the front of the box were two 5-1/4 floppy disc drives.  State of the art then.  Extinct dinosaurs today.  Businesses started buying these for the word processing and spreadsheet programs they could run.  But the PCs themselves weren’t very people friendly.  Before you could use your word processing or spread sheet program you had to boot up your computer with DOS first.  DOS was the disc operating system that made the computer work.  In those early days you had to type a DOS command to get those word processing and spreadsheet programs to start.  It required even more DOS mastery to do some basic things like installing a printer or copying a disc.  Making these PCs complicated machines that most people still did not see any reason to buy one.

The Defense Department’s ARPA created the ARPANET which was the Forerunner to the Internet

Then came 1984.  And the Macintosh computer (the Mac).  The other computer standard.  And rival to IBM.  And like their iconic Super Bowl ad said, it changed the world.  The Mac introduced us to the mouse.  And the graphical user interface (GUI).  Which Xerox actually created during the early Seventies but didn’t do anything with it.  But a guy by the name of Steve Jobs did.  He incorporated it into the Mac and made using a computer a whole lot easier.  The PC makers soon followed, adding a mouse and the Windows GUI to the PC.  Computers were never easier to use.  Businesses began buying computers in droves.  People were even bringing them into their homes.  Primarily for gaming.  Though some were using personal finance programs to pay their bills.  Writing letters and addressing envelopes.   And a few other things.  But the masses weren’t buying them yet.  Because there was little the masses could do on these remarkable machines.

Computer scientist JCR Licklider left Bolt, Beranek and Newman (BBN) to head the Behavioral Sciences and Command and Control programs at the Defense Department’s Advanced Research Projects Agency (ARPA).  He had an idea about making computers talk to each other.  Distant computers.  Others continued his work at ARPA.  Eventually issuing a request for quotation to connect the powerful computers at the University of California, Los Angeles (UCLA), the Stanford Research Institute’s Augmentation Research Center, the University of California, Santa Barbara (UCSB) and University of Utah.  BBN won the contract.  Built the network between these computers.  And on October 29, 1969, they sent the first message over the ARPANET.  An incredible achievement.  It was paradigm changing.  The Department of Defense had just created the Internet.  And the world would never be the same.  In another 20 years or so, that is.

The birth of the Internet in 1969 meant nothing to the masses.  The only people using it were computer people working on big, powerful computers located only at universities and research facilities.  Who could share these incredible computing resources.  But the masses had no concept of computer networks.  And weren’t asking for this technology.  They wanted other things during the Seventies.  And were only warming up to computers during the Eighties.  It was going to take a lot more to get the masses interested in this new technology.  Something that made it fun.  Without having to learn a lot of new stuff.  Something that was no more difficult than watching television.

A Favorable Business Climate in the Eighties created a High Tech Boom and ushered in the World Wide Web

As the Internet grew it allowed more computers to network with each other.  Sort of like having a new system of interstate highways.  A quick way to get places.  But unlike the interstate highways the Internet didn’t have tourist attractions and destinations of interest to go to.  At least, not yet.  And then came along Tim Berners-Lee.  Sir Timothy John “Tim” Berners-Lee these days.  Thanks to a knighthood bestowed by Queen Elizabeth II.  He helped to populate the Internet with destinations of interest.  He created a ‘web’ of hypertext documents that sat on servers.  People with computers could access these servers via their modems.  At first with dial-up modems that took forever to download anything off of the World Wide Web.  Then with broadband high speed modems.  These would connect them to the Internet.  The HyperText Markup Language (HTML) provided a common programming language for these interconnected computers.  The uniform resource locator (URL) provided a unique destination address for each thing (document, picture, video, etc.) on the World Wide Web.  And a web browser provided the virtual car to travel the Internet to these destinations of interests at various URLs all across the web.

Of course, none of this would have been possible with only those early PCs running DOS.  It was the marriage of the mouse, the GUI and the World Wide Web that made using the Internet fun and as easy as watching television.  Surfing the Internet took off in the Nineties because you could read, watch and listen to anything on the web without knowing the first thing about computer programming.  Even our parents could use email so deftly that first class mail may soon be joining the 5-1/4 floppy drive into extinction.  Along with the printed telephone directory.  And the printed newspaper.  Everything we want to know, look-up, enjoy, share, etc., is online these days.  We can even live-stream movies to our television via our PC connected to the Internet.  We bank, shop, chat and use social media like Twitter and Facebook.  We now have smartphones that can do all of this for us.  As well as take pictures and post them online.

People now use this technology throughout their day.  And most can’t imagine living without it.  This all starting with technology in the Sixties that people didn’t know a thing about.  Didn’t understand it.  And never asked for it.  But a few individuals advanced this technology.  Then some companies figured out how to commercialize it.  To make us demand something that didn’t exist only a short time earlier.  And once they explained why we had to have this technology we had to have it.  And now can’t live without it.  Proving Say’s law.  Supply creates demand.  And disproving Keynesian economics.  For demand didn’t make any of this happen.  Supply did.  A favorable business climate in the Eighties (low taxes, low regulatory burdens, sound monetary policy, etc.) created a high tech boom.  That showered us with high-tech toys.  And ushered in the next big thing.  The World Wide Web.



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