Quote:Neither does unregulated capitalism!!!


And forgive me if I don't give a rat's behind about the margins of Wal-Mart. The oligopoly is not good fit our nation.


By the way, I understand and agree with most of what you are saying. I'm just thinking of solutions to help my class.

 

Let me say this.  The concept of capitalism isn't inherently antithetical to the baseline concept of government oversight.  For instance, if you're a butcher then every customer isn't going to have the ability to make sure that the meat you are cutting isn't contaminated.  (even though as a business owner it is in your best interest to serve the highest quality meat you can to attract future customers, and you're customers can't patronize if they are sick or dead.)

 

There is a role for elected officials to make sure that companies are honest in their advertising and bring products to market that aren't going to kill people.  That's the role of a referee.  That being said, when they start telling people how to do things, how much to pay their employees, how much of certain products to make, etc. etc. etc. the inflexibility in that structure has historically lead to irrevocable market distortions and the collapse of the underlying economy.  

 

So i would contend that even the most ardent Free Marketer, myself included, would object to third party verification that businesses are honest and fair.  

 

As for Walmart, i think that their profit Margin is relevant.  I wouldn't simply call them part of an oligopoly.  If they are keeping their market share through continued expansion and innovation then i think they are providing a service to the nation in the form of jobs and cheap goods.  You can compete with Wal Mart, just not on price.  You beat Wal Mart because of more personal service and higher quality products.  For me, the dangers of big corporations is when they derive their gerth in whole or in large part because of unfair allegiance with government agencies squashing legitimate competition through the rule of law.  

 

I can understand your feeling about helping your class.  I felt the same way for a long time.  For me, there was a change when i realized that for the most part America isn't truly a CLASS system.  there are a few of the Elite elite elite elite elite that may want for nothing and are set up for a good life but that's actually a lot fewer than you think.  

 

of the top 5% (rough numbers): 10% are doctors and lawyers, 10% are top level executives, 5% are super sales people 74% are entrepreneurs and only 1% get their money from inheritance.  

 

I think the most untapped solution to upward economic mobility of the "middle class" is to allow them to own a greater portion of the efforts of the 74% though equity investment instead of state ownership through taxation (I have a whole boring theory about what Karl Marxx and Adam Smith would have actually compromised on had they lived in the mid 20th century but it would be off topic.) 

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