Wednesday, August 12, 2015

Corporate Power Threatens the Republic

One of Milton Friedman's greatest fear, was that corporations and government would become one in the same. There is protectionism already baked in the cake, and its in the 20 volumes of the US tax code and State laws and licensing boards including thousands of regulations (State and Federal). They collectively prevent or reduce the availability of various services to keep the cost for those services at a high level by limiting competitors (or making it too expensive for competitors to enter the market).

Insurance companies promoted Obamacare, knowing full well Americans would be forced (by the Government) to pay high premiums for their products exclusively. Government approved plans made it infeasible for all competitors to enter the healthcare market. State boundaries made it impossible for consumers in various States to buy something less expensive in another State. At the same time, the "insured" would not be able to easily use these products due to high deductibles. And that's not all, the taxpayer will subsidize any loses they incur. Who wouldn't want a deal like that?

Corporations donate to elected officials to keep those barriers in place, or to legislate additional obstacles. The collusion of Google and Facebook with the Democrat Party is the biggest threat to the Republic in the history of the United States in my opinion. The ability to build search engines to wedge out sites for which they disagree, or collect information on individual subscribers for political purposes is frightening. Social media has become the modern way to assert mob rule through the power of the tweet.

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