Category Archives: Economics

How To Influence Corporate America

If you wanna graduate level course in “Impacting Corporate Greed”, just read the following:

Bowing to customers’ anger and confusion over its move to divide its streaming and DVD video offerings, Netflix is reversing itself, snuffing the plan to offer DVDs by mail via a new service called “Qwikster.”

Why did Netflix do this?

The decision to split the services was wildly unpopular among Netflix subscribers. Reacting to the announcement on Facebook, a customer named Willie Williams summed it up in a way that 1,877 people agreed with:

Individually your DVD and steaming services do not offer enough to justify their expense. As a bundled service they supplement each other and provide the value that made Netflix wonderful. DVDs allowed you to view newer releases in a fairly timely manner. Streaming allowed for viewing of the older catalog of movies that come up when you think of it but might not be worth waiting for to arrive in the mail….

By separating these services I fear you are weakening Netflix as a service and subsequently the brand. Together these services made Netflix a success, separated you lack the availability and pricing of your competitors.

Corporations have no power if they don’t produce stuff you don’t want.

Brad And Britt And Congressman Miller

I mentioned that North Carolina has the dubious distinction of having elected the latest legislature to try and “regulate” the banks into behaving.  Well, in addition to ignorant congressmen, we have talk radio as well.  And this morning, Brad and Britt had Brad Miller on their show to discuss his new proposed legislation.

As you can imagine, much goodness ensued.

While discussing Mr. Miller’s proposed legislation, Brad admitted to being a customer of one of the big banks.  The conversation drifted into the details of the proposed law and how “hard” customers have it today when dealing with and switching banks.  During that conversation, Brad mentioned how hard it would be to switch banks, and he cited the reasons:

  • Direct deposit
  • Electronic bill pay
  • On line banking
  • Centralized banking for the whole family

All of which struck me as hilarious.  Brad is basically complaining that he doesn’t wanna switch banks because the services offered by his current bank ROCK.  Somehow the convenience of his current provider is SO good, that he just can’t imagine switching.  And, by gawd, we need a law to fix that!

Further into the conversation, Britt asks Rep. Miller what he would say to those people who have been “preached to” about the evils of government regulation? What would you say to those folks who have been told how to think and what to say?

Miller’s response?

That’s just silly.

Ahhh…

And THAT folks, sums up the entirety of the Left’s response to their actions.

Bank of America added this fee to us customers as a direct, a DIRECT, result of the Durbin amendment.  And now, Brad, Britt and and their guest are shocked, SHOCKED, I tell you, that we people would rather they quit.

But never mind facts guys, keep on keepin’ on.

Occupy Wall Street Comes To North Carolina

With the passing of Steve Jobs, his Commencement Address at Stanford is making the rounds.  The message of his words is powerful, the speech itself, actually, is massively forgettable.  But his Opus, his yawlp, is most impressive.

Stay hungry.  Stay foolish.

I resonate.  I’m nearly 43, well into a decent career at a massive corporation doing better than I have a right to ask.  But I’m hungry.  And I do foolish shit all day long.  All the time.  In fact, I yearn for the foolish, I embrace the foolish.

I get foolish.

So I understand that fire in the belly of the college kid who watches on TV as other college kids go do stuff.  Get noticed and make a name if not a statement.  But holy moly, there is a massive learning curve here:

Chapel Hill, N.C. — Hundreds of North Carolina college students walked out of class Wednesday afternoon as the weeks-long protest against Wall Street spread to universities nationwide.

I get it.  I do.  To get noticed you have to do things that are noticeable.  And if you really think that there are people being victimized, I urge you to get noticed:

Apart from the message of Occupy Wall Street, which is people over profit, is that UNC students, regardless of political or socio-economic background, have issues on this campus,” student Denise Mitchell said. “Students just don’t feel like they’re being heard by the university.

Huh?  Wait, this isn’t some attempt to improve student/faculty relations at some flippin’ university is it?

Mitchell cited a recent study that found UNC housekeepers feel they are treated unfairly…

What the what?  Wait, Occupy Wall Street is a movement that wants to draw attention to the fact that the very wealthy are, in fact wealthy, because of the shenanigans on of massive banks.  So, using that as cover you walk out of class to voice student concerns that housekeepers don’t think life is fair?

…and an investigation into the Department of African and Afro-American Studies following allegations of plagiarism by a former football player.

Right.  ‘Cause the fact that a football player plagiarized his work is shocking only because what, 85% of the student body is guilty as well?  Is it because he’s black?  Hell, IS he even black?

More proof that our education system is failing us follows:

Students used Facebook and other social media outlets to spread word of the noon protests. They say they represent 99 percent of Americans – people struggling to get by while the wealthiest one percent makes financial decisions.

“People will become aware and will know that we are the 99 percent, and our voices will not be ignored,” N.C. State student Katina Gad said.

Do they understand what 99% means?  Do they understand what struggling to get by means?  As an exercise, if they are so poor and so struggling, how are they organizing using Facebook?

The stupid continues:

“If you look at any group of people (who) are being discriminated against, I think youth and students are a big part of that. We’ve taken on massive amounts of student loans to go into what jobs?” said Ryan Thompson, who helped organize the small protest on N.C. State’s Brickyard.

“How are we going to pay $50,000 in debt when there are no jobs out there?” UNC student Ana Maria Reichenbach said.

Stunning.

If you look at any group of people who are being discriminated against…..

Don’t do it man, do NOT say that YOU are being discriminated against.

I think youth and students are a big part of that.

You did it.  But that aside, what does that even MEAN?  Youth and students are a big part of WHAT?  What in the HELL are you talking about?

How are we going to pay $50,000 in debt when there are no jobs out there?

So, now that you’ve decided to drop a cool 50 large on a European Classical Renaissance Philosophy / German Sociology degree and are shocked to learn that no one gives a fuck, you think I’M on the hook for your stupid student loans?

Check this out.  Being 50k down should disqualify you for almost any reasonable job out there where a corporation is going to trust you with their money.  If you can’t manage YOUR money, how do you expect any one to let you manage theirs?

Area college students are planning a citywide protest in Raleigh’s Moore Square at 5 p.m. Sunday, and many of the students said they plan to travel to New York in the next few weeks to show their support in person to the hundreds of protesters on Wall Street.

Again.  I resonate.  But if you are going to flush a $50,000 education down the toilet so that you can get arrested in New York, at least do it with a plan.  Be organized.  Be coherent.  Have points that are well thought out, organized and documented.  Be crisp and concise.  Make sure that one point is related to the next.  It should flow and people should go:

Yeah!  I never thought of it that way before.

But, then again, if you knew that, I suspect you wouldn’t be making the trip to NY in the first place,

Best Twitter Of The Night

Michelle Malkin:

From “I, Pencil to iPhone”: The spontaneous order of capitalism.

The Right Way And The Wrong Way

When faced with an unpleasant situation, there is a right way to handle it and then there is a wrong way.

First, the unpleasant situation:

Bank of America announced late last month that it plans to start charging debit card users a monthly fee starting early next year.

Now, the right way:

Due to the fee, Roger Goodwin is considering leaving Bank of America and getting an account with a local credit union.

“They do not have fees, and I also have an account with another bank that is also going to start charging for checking,”

Then, the wrong way:

U.S. Rep. Brad Miller said the fees should be illegal, according to WMFY.

Guess which way is going to produce the greatest change in the debit card market?

Taxes and Jobs

I posted this just about one year ago:

Students Demanding That We Tax The Rich

The great debate of the day is The Compromise™. Or rather, what we’re gonna do about taxes on the rich. Obama ran on it for two years beginning in 2006. Liberals believed; believed either that he WOULD let the Bush Tax Cuts expire or that he COULD let the Bush Tax Cuts expire.*

And he didn’t.

He neither could nor would. And the great debate rages.

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I’m With The Government, I’m Here To Help You

I wish life were a Jon Stewart show.

I love watching me some Stewart.  Now, I don’t watch it daily, in fact, I don’t watch it weekly, but I record it and watch 4-5-6 episodes a night every so often.  And I’m always glad I did.  He’s hilarious.  His comedic rhythm is very nearly unmatched, his voices are crazy funny and the physical communication he brings to his verbal communication is nothing short of perfect,

The man is mad skilled.

And he’s able to see the funny in the everyday.

Yes indeed, I wish that everyday was a Jon Stewart show.

Today, I have good news for you.  Today is a Jon Stewart show kinda day.  The day when you blissfully walk through life and the normal inane aspects of the day strike you as hilarious.  Simply hilarious.

So, we all know that the bankers on Wall Street caused the crash in 07 ’cause they’re greedy.  Right?  And after the crash of 07, the government bailed out those bankers in order that our financial system didn’t completely crash.  And, after getting bailed out by said government, those banks went on to report record profits and lavish themselves with more high salaries and bigger bonuses.

With me still?

So, then, in response to the unfairness of the whole thing, the government, led by the Intrepid Due of Frank and Dodd, crafted and then passed legislation into law that would protect the consumer from the predatory actions of those mean banks that crashed the system and then stole the government’s bailout money.

One of the things that said legislation did was to restrict the amount of money that banks could charge merchants for using a debit card at the point of transaction.  See, banks have record profits already and by the use of those fees, they were strangling economic growth at the checkout counter all over America.

Poof.  Just like that, the fees used to pay for the use of a debit card were sliced in half.

Thank gawd for that, right?

Wrong.

It turns out that managing debit card transactions isn’t free.  Further, that cost isn’t negligible.  And now that the banks are unable to charge the merchant, the banks went after another target to gather their money; the consumer!  Ahh yes, the very consumer that Dodd and Frank were trying to protect.  The irony is as delicious as it was unpredictable.  Certainly NO ONE would have seen this coming.

Dear Government, thank you for trying to save me from myself by passing ignorant laws that only make matters worse.  However, the consequences of your well intentioned law is that I am actually worse off now than I was before.  Can you please help me?

Love,

pino

And just like a great Jon Stewart show, the hits just keep coming:

WASHINGTON — North Carolina Democrat Congressman Brad Miller has introduced legislation he said will make it easier for customers to change banks if they aren’t happy with new fees.

The bill will modernize and streamline the opening and closing of personal checking and savings accounts, Miller said Tuesday.

“As megabanks flirt with menus of new fees, an increasing number of Americans will want to switch banks,” Miller said. “That is the way things work in a competitive, free market as unrepentant banks are still trying to rake in vulgar profits from their customers.”

With such flowing and beautiful language, I’m sure, just SURE, that this bill is gonna be a good one!

Miller’s legislation would allow customers to close an account without being charged a fee, even if the account has a negative balance. Customers would also be allowed to close accounts without actually showing up in person.

It would also prohibit banks from levying fees to a customer’s account after the account has been requested to be closed.

The great thing about great comedy is that future riffs are set up by hilarious content early in the show.  A great comic is able to set himself up for future use.  Most often this is done within the context of the single show and will have to be re-created for the next one.  But the truly great are able to so skillfully build content that it can span episodes.

This is one of those times.

I predict nothing but really great news for consumers should Brad Miller’s bill make it to law.

Okay okay okay.  In all seriousness.  I have already demonstrated that Liberals don’t understand things like economics.  So the fact that Miller is proposing this legislation isn’t so much surprising as it is an argument for better public education.

I Have Two Words

My reaction to this headline can be summed up in two words:

Theater Stagehands in Philadelphia on Strike

Big fuckin’ deal!

Let’em strike.  Let the Leftists be without theater.

Maybe they’ll get back to work.

Race Based Services

Last week, Sean asked if the bake sale in California was racist.

This past Tuesday, the Berkeley College Republicans sponsored a bake sale on campus that sold cupcakes at different prices based on ethnicity. Whites had to pay the highest prices at $2 per cupcake, while Native Americans received the lowest prices at 25 cents.

Now, I’m a firm believer in the Rand Paul version of race relations.  That is, it’s perfectly legal, certainly not reasonable, for a private merchant to serve who he wants.  And not to serve who he doesn’t.  Further, I think the word racist is misused today.  Probably in the same way that liberals feel conservatives misuse Socialist.

Do I think the bake sale is racist?  No.

Do I think it’s discriminatory?  Yes.

Do I think it’s satire in the same way Jon Stewart is satire?  Most certainly.

However, I also think it’s appropriate.  Universities all over the country are going out of their way to sell their “cupcakes” at different prices to different people base don nothing but race.

Consider admission into the University of Wisconsin Law School:

Visually:

So, what’s up with Wisconsin?  Why so racist?  Why is the School of Law at the University of Wisconsin so over the top inappropriate?

I suggest that they’re so inappropriate because they don’t know they are being inappropriate.  Consider admission into the University of Michigan School of Law:

Visually:

And Nebraska:

Visual:

The point?

We make race an issue.  The fact is that the color of your skin DOES matter.  It matters a whole lot.  Wanna get into law school?  Be black.  Wanna NOT get into law school?  Be white.

Is what those kids in California are doing shocking?  Sure, I think so.  Selling a cupcake for less money depending on your skin color IS shocking.  SHOULD be shocking.

But it’s no different that the Leftists selling law degrees for less depending on your skin color.

 

There Is Hope

And who would have thought it would come from, of all places, France?

I mock France in all of its caricatures.  The social state, the welfare, the lifestyle and the arrogance.  I do.  I admit it, in fact, I embrace it.  But I have to admit, I took hope in France tonight.

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