Obama Job Approval has Fallen over the Last Year

Posted by PITHOCRATES - January 23rd, 2014

Politics 101

Ten Different Obama Job Approval Polls show Higher Disapproves than Approves

President Obama did not have a good 2013.  Especially near the end.  Because of the Obamacare rollout.  With the website being a disaster.  The enrollment numbers weren’t as projected.  Or needed.  And then all the cancellations in the individual market.  As people learned they couldn’t keep the policies and doctors they liked.  Which gave President Obama the recognition for being the best in at least one thing.  As PolitiFact named “if you like your health care plan, you can keep it” as the lie of the year.

The bad news continued into 2014.  The Obamacare enrollee numbers didn’t improve.  Most of the enrollees are the old and sick.  Not the young and healthy the Obama administration told the health insurers would be enrolling.  Which is breaking the economic model.  Guaranteeing not only that health insurance premiums will rise.  But some health care providers are actually requiring payment up front before providing services.  As they are not sure what the insurers will pay.  Making Obamacare an even bigger disaster.  Which is a big factor in driving President Obama’s job approval rating down (see President Obama Job Approval posted on Real Clear Politics).

President Obama Job Approval R1

The ten polls included in the RCP Average all share one thing in common.  They all have larger disapproval numbers than approval numbers.  With the average disapproval number being 8.4 points greater than the average approval number.  However you look at these numbers they are not good for President Obama.  For they say President Obama has not been good for the United States.

People don’t Trust President Obama and are beginning to Doubt his Past Claims of Accomplishment

Growing numbers of people don’t trust the president anymore.  Including those who were Obama supporters.  Who because of the ‘lie of the year’ don’t look at those other scandals as opposition propaganda anymore.  These scandals (Benghazi, IRS targeting conservatives, spying on journalists, spying on Americans, Fast and Furious, Solyndra, ‘recess’ appointments, executive orders to bypass the will of the people/Congress, etc.) are now just other things not to trust the president about.  The president has been less than honest to get what he wants (power).  While the American people don’t get what they want (jobs, affordable health care, etc.).  And it’s because of this that his job approval has entered a steady decline.

President Obama Job Approval Graph R1

Following a bump during the 2012 election Obama’s job approval has trended down.  The Obama administration lied about what happened in Benghazi to help their reelection chances.  Where the campaign message was that al Qaeda was on the run.  Which is apparently why the State Department under Secretary Clinton denied Ambassador Steven’s request for additional security to combat the resurgent al Qaeda in Libya.  As the recent bipartisan Senate report stated that the killing of four Americans in Benghazi on the anniversary of 9/11 could have been prevented.

Benghazi, the NSA spying on us, the ‘lie of the year’ and the other scandals have had their affect on the American people.  And after the Target point-of-sale credit card hack people are very suspect of the Obamacare website.  Especially when a security consulting firm says there is no security on the Obamacare website yet the Obama administration keeps telling us to trust them.  They’ll keep our data safe.  Even though Target couldn’t.  And they have functioning security systems in place.  Unlike Obamacare.  That has none.  So people don’t trust President Obama.  And they’re beginning to doubt his past claims of accomplishment.  As well as those rosy jobs reports from the Bureau of Labor Statistics.

The Lie of the Year appears to have Broken the Spell Obama held over some of his Admirers

The Democrat’s Keynesian economic policies created yet another housing bubble.  By keeping interest rates artificially low and relaxing credit standards they stimulated the housing market.  And housing prices soared.  But buyers didn’t seem to care.  Because they were borrowing the money to buy these overpriced houses.  Because of those low interest rates.  Even people who couldn’t afford to buy a house were buying a house. Thanks to subprime lending like the adjustable rate mortgage (ARM).  But when interest rates rose so did those monthly payments on those ARMs.  People couldn’t afford their mortgage payments anymore.  And defaulted.  Giving us the subprime mortgage crisis.  Which turned into the Great Recession.

The Democrats blamed the banks for the Great Recession.  Not their Keynesian policies.  Or President Clinton’s heavy hand on lenders to qualify the unqualified for mortgages (see Bill Clinton created the Subprime Mortgage Crisis with his Policy Statement on Discrimination in Lending posted 11/6/2011 on PITHOCRATES).  Not only did they deflect blame for the crisis they used the crisis to implement further Keynesian policies.  A near-trillion dollar stimulus bill.  Much of which went to Obama’s ‘friends’ in the green energy industry.  And to their friends in unions.  The government spent a lot of money.  They kept interest rates artificially low.  And when that didn’t work they used quantitative easing.  Basically printing money.  The Obama administration said their policies were working.  And declared the summer of 2010 ‘Recovery Summer’.  The recession was over.  Since then they highlighted the new jobs created with every jobs report.  While ignoring the number of people who have left the labor force.  Greatly skewing the numbers.  And grossly understating the real unemployment rate (see Wall Street adviser: Actual unemployment is 37.2%, ‘misery index’ worst in 40 years by Paul Bedard posted 1/21/2014 on the Washington Examiner).

Don’t believe the happy talk coming out of the White House, Federal Reserve and Treasury Department when it comes to the real unemployment rate and the true “Misery Index.” Because, according to an influential Wall Street advisor, the figures are a fraud…

…the Misery Index, which is a calculation based in inflation and unemployment, both numbers the duo say are underscored by the government. He said that the Index doesn’t properly calculate how Uncle Sam is propping up the economy with bond purchases and other actions.

“These tricks, along with a host of other dubious accounting schemes, underreport inflation by about 3 percent,” they wrote, adding that the official inflation rate is just 1.24 percent.

“Today, the Misery Index would be 7.54 using official numbers,” they wrote. But if calculations tabulating the full national unemployment including discouraged workers, which is 10.2 percent, and the historical method of calculating inflation, which is now 4.5 percent, ‘the current misery index is closer to 14.7, worse even than during the Ford administration.”

The 1970s were the heyday of Keynesian economics.  With spending out of control Richard Nixon did something that Keynesians longed for.  He decoupled the dollar from gold.  Allowing the Fed to print money like there was no tomorrow.  Igniting inflation.  And when the inflation rate was added to the unemployment rate it gave us a record Misery Index.  Until now, that is.  If you use the real data.  And not the ‘massaged’ data that makes their Keynesian policies appear to be working.  Telling us the recession ended in 2010.  When many feel the Great Recession has never ended.  Which is yet another reason not to trust the Obama administration.  Or not approve of the job President Obama is doing.  As the polls have been showing this past year.  And it’s not just because of Obamacare.  But the ‘lie of the year’ appears to have broken the spell he held over some of his admirers.  Who can now see the king is wearing no clothes.  No matter what his administration and those in the mainstream media say.

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FT173: “It’s hard to trust the government collecting our personal data once the IRS admits leaking it to attack political enemies.” —Old Pithy

Posted by PITHOCRATES - June 7th, 2013

Fundamental Truth

We need to Trust our Investment Advisors with our Retirement Money

Trust.  It’s hard to get.  And easy to lose.  Trust is important.  We want to trust the people in our lives.  We need to trust the people in our lives.  If you’re in the hospital for a risky surgery you don’t want the surgeon to introduce himself like this.  “Hello.  I will be during your surgery.  They call me Dr. Butter Fingers.  Funny story, really.  I was doing a kidney transplant and the little bugger slipped out of my hands and fell to the floor.  Pity to waste a good kidney like that.  Anyway, I just want to make a few notes,” he said pulling a pen out of his pocket.  Which slipped through his fingers and fell to the floor.  “Oops.”

Planning your retirement can be a confusing and complicated task.  You will be putting aside a portion of your income for a very long time.  And you need to trust that your money will be there when you retire.  Not like those poor people who trusted Bernie Madoff.  Who lost everything in his Ponzi scheme.  That’s why we need to trust our investment advisors.  And we’re not going to trust anyone who introduces himself like this.

“Hello.  I’m Devious.  Mr. Devious.  And I will be helping you set up your retirement account.  Might I suggest adding the Brooklyn Bridge to your portfolio?  Some lovely bottomland in the Florida Everglades?  And here’s something that may interest you.  I got this fax from a Nigerian prince.  It seems that he has billions of oil profits in a bank that he needs to transfer to some other bank to get his hands on it.  All he needs is your checking account routing number.  And a small fee to make this happen.  Sounds like a great investment opportunity to me.  And I highly recommend it to you.  You can trust me.  Yes, sir.  You can trust good old Mr. Devious with your money.”

Fool me once Shame on You, Fool me Twice Shame on Me

Buying a used car can be a crapshoot.  For you’re really at the mercy of the used car salesman.  And if he doesn’t care if you ever come back to him to buy another car he can sell you a lemon.  “That smoke?  That’s normal.  You see, we just overhauled the engine.  That smoke is just the sealing compound of the head gasket melting into place.  Once it sets that smoke will clear right up.  Making that engine as good as new.  See?  You can trust me, Mr. Lying through his Teeth.”

So you happily and unsuspectingly drive away.  And then the darnedest thing happens.  The engine seizes.  You see, all of that smoke was the oil leaking into the cylinders and burning away.  So that by the time you got home the engine overheated and seized.  Because it burnt away all of the oil.  You try to get your money back but to your astonishment the contract you signed said you bought the car ‘as-is’.  And it even said the engine needed work.  So you’re screwed.  Because it turned out that Mr. Lying through his Teeth was not trustworthy.

Fool me once shame on you.  Fool me twice shame on me.  People rarely get ripped off by the same used car salesman twice.  Because once the trust is gone they won’t go back to that person.  Or that business.  Because that person has shown himself as untrustworthy.  As has that business who hired an untrustworthy salesman.  And it will be a long time before they earn that trust again.  If they can earn that trust again.

The Thought of Trusting Government to Collect our Personal Data is not only Disturbing but Frightening

Whether it’s a doctor who has a problem holding onto human organs.  A financial advisor who gives you bad investment advice.  Or a lying used car salesman.  We don’t trust untrustworthy people.  They can fool us once.  But once they do it will be very difficult for us to ever trust them again.  Because they have demonstrated to us that it is unwise to trust them.

The IRS has admitted that they harassed conservative groups.  And conservative individuals.  They audited these people.  And collected personal data from them.  Including a list of donors to the conservative groups.  People who donated anonymously.  Because they didn’t want to be politically attacked.  But the list of these donors the IRS collected found their way to a far-left website.  Who published these donors’ names.  Who then suffered political attacks.  Scaring other people from making donations to conservative groups.  Lest they, too, suffer political attacks.

This is why the latest revelations about the government collecting data on private individuals is so disturbing.  Yes, they’re data mining to find patterns to identify potential terrorists.  And they’ve been doing it since the Bush administration.  Yet they couldn’t prevent the Boston Marathon bombing.  And the Russians even warned us about the one bomber and his Dagestan past.  They couldn’t stop that with their data mining.  But they were able to shut down the political opposition during the 2012 presidential election.  This is what’s chilling about THIS administration collecting all of this personal data.  If they’re not using it to stop terrorist attacks just what are they using it for?

Whether or not it is directed from on high someone is using our personal data to harm the political enemies of this administration.  Which is a violation of the sacred trust the people place in government.  And once the trust is gone it will be a long, long time before we’re ready to trust them again.  For the thought of trusting an untrustworthy government to collect, store and analyze our personal data is not only disturbing.  It’s a little bit frightening.

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FUNDAMENTAL TRUTH #76: “You know they’re governing against the will of the people when they play with the meaning of words to fool the people.” -Old Pithy

Posted by PITHOCRATES - July 26th, 2011

The More they Trust You the Easier it is to Lie to Them

People lie for one reason.  They don’t want you to hear the truth. Sometimes it’s done with good intentions.  “No, those jeans don’t make your butt look big.”  Most times it’s not.  “I am not having an affair.  And I can explain those earrings you found in the backseat.  And the underwear that’s not yours.  Just give me a minute.”

The truth about lying is the truth.  And someone’s attempt to hide it.  A husband doesn’t tell his wife about an affair.  Because he doesn’t want his wife to know about the affair.  For a variety of reasons.  But mostly so he can keep having the affair.

And this is why people lie.  To continue doing something they couldn’t otherwise do.  By misleading those people who know them.  Who love them.  Who trust them.  And the funny thing is, the more they trust you the easier it is to lie to them.  “Look, honey, I didn’t want to say anything before.  But the rumor at work was that John and Mary were having an affair.  I didn’t believe it at first.  I mean, they’re both married.  And they’re more than just my coworkers.  They’re my friends.  Then one day John had to borrow my car.  So I lent it to him.  The next thing Bill tells me is that he sees John and Mary in my car turning into an alley.  Guess I know what they were doing in that alley.”

See?  Easy.

Good Lying is about Creative Language and Class Warfare

So if you’re into lying it’s best to get yourself into a position where lots of people trust you.  Like elected office.  Because for some reason people tend to trust anyone in government.  Far more than those evil greedy people in corporate America.  Or rich people in general.  Even though it’s a given that politicians lie.  It is an interesting dynamic.  How this inherently dishonest institution is trusted first then questioned about their honesty later.  Long after the scandals that follow them.  So how do they do it?  How do these liars get to be so trusted?

It’s all about creative language.  And class warfare.  You need to get people to hate each other.  And then you stoke those passions.  Keep them burning hot.  So they feel more than think.  For the less they think the more they’ll fall for your soaring rhetoric.  You say the rich should pay their fair share (even though they pay a disproportionate high percentage of taxes).  And that rich CEOs shouldn’t get tax breaks to fly around in their private jets (even though they use them for legitimate business purposes).  You cast yourself as the protector of the little guy against rich and corporate interests.  Even though you’re anything but.  But that’s how it’s done.  And no one does it better than liberal Democrats.

For they are the king of liars.  Ivy League educated.  Arrogant.  Pompous.  Filled with an air of all-knowing condescension.  They just brim with loathing and self-confidence.  They loath you and I who are not their equals.  And they believe that there is nothing that they can’t do.  And what do they want to do?  Tax and spend.  Control the economy.  And tell us how we should live.  In the enlightened world they envision.  Of course, this has not proven to be a successful political platform.  People don’t want to elect people like this.  So they lie about what they want.  And who they are.  With a creative use of language.

Twisting the Meanings of Words

No one likes paying taxes.  No one will vote for someone who says they’re going to raise their taxes.  Which is a bit of a problem for a tax and spend liberal.  So they don’t use the ‘T’ word.  No.  Instead, taxes are called ‘contributions’.  Or simply ‘revenue’.  Because contributions sound voluntary.  And revenue sounds kind of warm and fuzzy.  In the business world, raising revenue is a good thing.  And they hate taxes in the business world.  Just like you.  So you feel less threatened about talks to raise revenue than you do about talks to raise taxes.  Even though they are the same thing.

With ever growing deficits, some people are growing a little skittish about excessive government spending.  At least, the people paying the taxes.  Those people with jobs.  They don’t want to pay more in taxes.  And they’re getting a little nervous about the huge federal debt.  So the responsible side in them tells them to say ‘no’ to more spending.  So the tax and spend liberal uses the word ‘investment’ instead.  They say we need to invest in infrastructure to rebuild our aging roads and bridges (even though gasoline taxes already pay for this work).  That we need to invest in education and research to keep America on the forefront of technology (even though we already spend a fortune on these already).  Investing in our future?  Well, yes, that sounds good.  And perhaps we should.  So we agree not to cut these investments.  But we’ll still resist excessive government spending.  Even though these are the same thing.

You see, the tax and spend liberal looks at the economy differently.  They see all money belonging to them.  Including ours.  They let us work.  Earn a paycheck.  But your net pay is only the portion of their money they begrudgingly let you keep.  In fact, what they don’t tax away from you they call government spending.  Or tax expenditures.  They’ll say things like, “We can’t afford to pay for these tax cuts.”  Of course, you don’t pay for ‘tax cuts’.  A tax cut is when the rightful owner of the money gets to keep it.  Instead of the government taking it away.  But calling this ‘government spending’ makes it easier to cut.  For cutting spending is a responsible thing to do.  But when they cut this spending they are actually raising taxes.  Clever, eh?  Talk about twisting the meaning of words.

Here are some other words and phrases they use and their translation:

  • Bipartisan = Republicans giving Democrats everything they want
  • Compromise = see bipartisan
  • Future spending cuts = no spending cuts
  • A balanced budget approach = higher taxes now and future spending cuts later (see future spending cuts above)
  • Get serious about deficit reduction = increase both spending and taxes
  • Blue ribbon panel/special commission = where you place an issue that you’re afraid to address
  • Failed policies of the past = the very successful policies of Reaganomics
  • Radical right wing = any Republican that doesn’t vote for more Democrat spending

 Republicans have Less to Hide

Liberal Democrats lie because no one wants what they’re selling.  But because they’re so much smarter than we are they’ve come up with a way to fool us.  By lying.  And using Orwellian language.  To make us accept things that we would normally not accept.

Just look at their campaigns.  And their language.  They campaign as moderates.  Then govern as liberals.  They want to raise our taxes.  But they don’t tell us that they want to raise our taxes.  Why?  Because taxpayers don’t share their Orwellian vision.  For if the people believed as they believed they would be honest.  But they don’t.  So they are less than honest.

Republicans, on the other hand, call ‘tax cuts’ tax cuts.  And ‘tax hikes’ tax hikes.  They run as conservatives.  And govern as conservatives.  Until they’re corrupted by Washington, at least.  But based on language usage alone even the most partisan hack would have to admit that the Republicans have less to hide.  And, therefore, govern more according to the will of the people.

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LESSONS LEARNED #20: “It is never a consumer that complains about ‘predatory’ pricing.” -Old Pithy

Posted by PITHOCRATES - July 1st, 2010

ECONOMIES OF SCALE and vertical integration can do two things very well.  Make industrialists rich.  And make the things they sell cheap. 

The more you make, the less each thing you make costs.  Businesses have fixed costs.  Big one time investments in plant and equipment.  Businesses have to recover these costs.  Each thing they sell has a portion of these fixed costs added to its price.  The more they sell, the less they need to add to each unit sold.  This is economies of scale.  Think of bulk goods.  Warehouse clubs.  Places where you can buy large quantities of things at lower unit prices.  You may buy an ‘economy pack’ of 3 bottles of shampoo shrink-wrapped together.  The purchase price of a 3-pack will be greater than the price of a single bottle of shampoo at your convenient corner drug store.  But the unit cost of each of the bottles in the 3-pack will be less.  You save more over time by buying 3 bottles at a time.  Spending more, then, means spending less.  In time.

Few of us buy raw materials.  Few have a need for crude oil.  Iron ore.  Coal.  Limestone.  Manganese.  But they make the stuff we buy.  A lot of things have to happen before those raw materials make it to us in those things we buy.  It has to be mined or drilled/pumped.  Transported.  Processed.  Stored.  Transported again.  Processed again.  Stored again.  Transported again.  There are many different stages between extracting raw materials from the earth and incorporating them into a final product we consumers buy.  At every stage there are costs.  And inefficiencies.  Which add to costs.  By reducing these costs along the way, the component materials used at the final manufacturing stage cost less.  This reduces the selling price of the final product.  This is what vertical integration does.  It puts everything from the extraction of raw materials to the incorporation of those processed materials into the final product for sale under control of the final user.  It brings in a high level of quality, cost containment and reduction of inefficiencies into the entire process resulting in a high quality, mass produced, inexpensive product.

Not everyone can do these things.  You have to live and breathe the industry you’re in.  You have to understand it intimately.  An industrialist at the top of his game can do this.  A politician can’t.  States trying to take control of their economy have failed.  Every time they’ve tried.  Why?  Politicians are ‘intellectuals’.  They’ve never run a business.  They only thought about it.  And, somehow, that gives them the moral authority to tamper in something they are simply unqualified to do.  And when they meddle, they destroy.  Purposely.  Or through unintended consequences.  In the process, though, they enrich themselves.  And their cronies.

ANDREW CARNEGIE WAS a brilliant entrepreneur.  After working for a railroad, he saw the future.  Railroads.  And he would build its rails.  And its bridges.  With his Keystone Bridge Company.  Which used steel and iron.  So he built his Union Mills.  Which needed pig iron.  So he built his Lucy blast furnace.  Which consumed raw material (iron, coke, limestone).  So he secured his own sources of raw materials. 

His Lucy blast furnace set world records, nearly doubling the weekly output of his steel competitors.  No one made more steel than Carnegie.  For less.  In about 20 years, he brought the price down for steel rails from $160/ton to $17/ton.  And got rich in the process.

Economies of scale.  Vertical integration.  And innovation.  Carnegie hired the best people he could find and used the latest technology.  Always improving.  Always cutting costs.  Always making steel more plentiful.  And cheaper.  His steel built a nation.  Dominated the industry.  And destroyed the competition.  Of course, that drew the attention of the government.  And they tried to break up the steel giant because it was unfair to the competition.  Who couldn’t sell steel as cheap as he could.

JOHN D. ROCKEFELLER was a brilliant entrepreneur.  After trying the oil drilling business, he saw the future.  The refining business.  For America lit the night with kerosene.  And he would provide that kerosene.  At prices that a poor man could afford.  And he did.  And he saved the whales in the process (his cheap kerosene put the whale oil business out of business).

Like Carnegie, cutting costs and production efficiencies consumed him.  He built his own kilns and used his own timber for fuel.  He made his own barrels from his own timber.  He used his own horse-drawn carts, boats, rail cars and pipelines.  He bought up competitors.  He grew to dominate the industry.  By far the biggest shipper, he got better shipping rates than his competitors.  And he constantly innovated.  When others were dumping the gasoline byproduct from refining kerosene into the river (no internal combustion engine yet), he was using it for fuel.  He hired the best talent available to find a use for every byproduct from the refining process, giving us everything from industrial lubricants to petroleum jelly (i.e., Vaseline).

His company, Standard Oil, was close to being a monopoly.  When they controlled 90% of the market kerosene was never cheaper.  He brought the price down from $0.26/gallon to $0.08/gallon.  And that was an outrage.  We can’t allow any one company to control 90% of the market.  Sure, consumers were doing well, but the higher-cost competitors could not stay in business selling at those low prices.  So the government broke up Standard Oil via antitrust legislation (the Sherman Act).  To protect the country from monopolistic practices.  And cheap kerosene, apparently.

BILL GATES WAS a brilliant entrepreneur in building Microsoft.  The personal computer (PC) was new.  You couldn’t do much with it in the early days unless you were pretty computer savvy.  But programs were available that made them great business tools (word processing and spreadsheet programs). 

IBM created the PC.  And they licensed it so others could make IBM-like machines.  IBM clones.  The PC industry chewed each other up.  But Gates did well.  Because all of these machines used his operating system (Microsoft’s Disk Operating System – DOS).  Apple developed the Macintosh (with a mouse and Graphical User Interface – GUI) but it was expensive.  Anyone who used one in college wanted to buy one.  Until they saw the price.  So they bought an IBM clone instead.  And when Gates came out with Windows, they were just as easy to use as the Macs.

Because of the higher volume of the IBM platform sold, Microsoft flourished.  Software was bundled.  New machines came preloaded with Windows.  And Internet Explorer.  And Windows Media Player.  You got a lot of bang for the buck going with a Windows-based PC.  And Windows dominated the market.  Consumers weren’t complaining.  Much.  Sure, there were things they did bitch about (glitches, drivers, viruses, etc.), but it sure wasn’t price.

Of course, Microsoft’s competitors were hurting.  They couldn’t sell their products if Microsoft was giving away a similar product free.  Because they were hurting their competitors, the government tried to break up the company with the Sherman Act. 

THE NORTHERN SECURITIES SUIT of 1902 found a holding company guilty of not yet committing a crime.  Teddy Roosevelt’s administration filed a Sherman antitrust suit against Northern Securities.  This was a holding company for Northern Pacific, Great Northern, and Chicago, Burlington, and Quincy Railroads.  What’s a holding company?  It replaced a trust.   Which large corporations created in response to government’s attacks on large corporations.

Small competitors feared large corporations.  They could not compete against their economies of scale and vertical integration.  The little guys couldn’t sell things as cheap as the big corporations could.  So the government intervened to protect the little guy.  So they could sell at higher prices.

But businesses grow.  All big corporations started out as little guys.  And the growing process doesn’t stop.  So the big corporations had to find other ways to grow.  They formed trusts.  Then the trust-busters busted up the trusts.  The next form was the holding company. 

The trust-busters said that the big corporations, trusts and holding companies were all trying to become monopolies.  And once they eliminated all competitors, they would raise their prices and gouge the consumers.  Northern Securities never did.  But they could.  So they were guilty.  Because they might commit a crime.  One day.

ALL BUSINESS OWNERS aren’t morally ethical and honest.  But the market is, albeit cruel.  Economies of scales will always put the little guy out of business.  Sad, yes, for the little guy.  But for every little guy put out of business, millions of consumers save money.  They can buy things for less.  Which means they have more money to buy more things.  New things.  Different things.  From new little guys who now have a chance with this new surplus of purchasing power.

But when politicians get involved, consumers lose.  When they help a competitor, they help them by keeping prices high.  To keep competition ‘fair’.  For the politically connected.

Consumers never complain about low prices.  Only competitors do.  Or their employees.  Those working on whaling ships didn’t like to see the low price of Rockefeller’s kerosene.  But the new refining industry (and its auxiliaries) created far more jobs than were lost on the whaling ships.  We call it progress.  And with it comes a better life for the many.  Even if it is at the expense of the few.

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