ANOTHER TAKEOVER

[bertsmobile1]

'Oligopoly' is the situation where there are few suppliers in a market, such as the auto or airline industry. In some ways it's good for the consumer. Think of the problem of replacement parts if there were 10,000 auto brands.

Being able to afford to pay more for goods does not mean that one should, simply because they can 'afford' it. Every dollar spent unnecessarily on one good, is a dollar that can't be spent elsewhere. If acting in one's own financial self-interest is greed, then everybody is guilty of it, from the wealthiest person on the planet to the lowest bum in the gutter.

Every financial transaction transaction that takes place between two parties in a free market is a win/win for both. Both have decided they can do without whatever it is they're trading more than what they're getting in return, or the deal would not take place. The buyer decides he would rather have the seller's goods than his money; the seller decides he would rather have the buyer's money instead of his goods. Whether they 'like' the deal they made is irrelevant; they still voluntarily made it.

Take note that when the government forces its citizens to buy something, that is not a free-market transaction.

And so is the inverse, if an external entity prevents you from performing the transaction. So nothing should be banned.

However as with all economic theories there are a lot of assumption applied to simplify the situation.
It convienently assumes there are no consequences external to the transaction
It assumes that both parties are fully aware and there is a level playing field that is not being artificially skewed in order for you to favour one transaction over another similar or equal transaction.
So it is a fantasy situation with little to no resembelance to reality. The FREE MARKET is a myth.

The dollar you do not spend on the locally made product is a dollar that is not available to support the thousands of people who produce the things you consume and a dollar that exits your local economy.
Just as a dollar introduced into a community has a multiplier effect and becomes hundreds of dollars, so to the dollar you export is removed from the local community and has multiplying effect.
And yes that dollar now goes to a different community where it will have the same multiplier effect as it would have had on your community but it is of no value to you and the people who depend upon you for their existence.

Every one remembers the most powerful force in economics, Compound Interest.
But every one conveniently ignores the second most powerful force in economics , the Internal Dollar.

And my favourite example;-
The drug addicted prostitute who sell you sexual pleasure and leaves you with a STD is a loose : loose transaction.:confused2:

 

[cpurvis]

The Free Market may very well be a myth in Australia; I wouldn't know.

But here in the States, with the exception of our health care system, it is alive and well, in spite of those who try to stop it.

 

[reynoldston]

The Free Market may very well be a myth in Australia; I wouldn't know.

But here in the States, with the exception of our health care system, it is alive and well, in spite of those who try to stop it.

Yes the prescription drug market the government has their fingers into big time.

 

[bertsmobile1]

So the Iowa corn farmers get no money from the government which would artificially alter the price of corn ?
And this money that the government does not give to the farmers did not come from taxes which did not alter the price or availability of some commodity or benifit to some other sector of the community ?
The new casting plant being built in Mitichigan for GM funded by a "loan" from the Obarma government $4.3 billion from memory but I would have to go through some back issues of the Americian Foundryman to check the actual number as it was 6 years ago the story broke.
So the USA allows any product to be imported without Free Market skewing import duties being applied ?
Don't tell that to the Cuban cigar makers.
And of course there is no such thing as advertising trying to pevert your values or alter your perception of what you buy is worth ?
and of course in a "Free Market" both parties are fully aware.
Did all the people who bought the Ford (Pintara ?) with the plastic fuel tank which split and incinerated a few hundred families know about the fuel tank before they made the decision to buy that particular car ?

There is no such thing as a "Free Market" anywhere in the world in any product between any two people.
It is a myth simplified so that the basics of economic theory can be taught to 15 year old economics & commerce students as happend to myself.
However by the time I was 18 my teachers had also shown us that a truly "Free Market" did not exist but it was the best tool available to try & understand what was happening.

However if you really want to religiously believe that you have a "Free Market Economy" then you will hear no more about it from me as I never attempt to alter some ones religious beliefs.

 

[cpurvis]

Sorry to burst your bubble, but just yesterday I bought a serpentine belt for a Dodge diesel pickup and a slab of ribs for lunch. Both were, in fact, free market exchanges.

Thanks for having no more to say on the subject.

 

[reynoldston]

Look at the forum rules, no political or religious topics. Could this post be starting to look like that????

 

[cpurvis]

Economics is neither religious nor political. But if someone is offended by that, go ahead and delete my posts.

 

[Shughes717]

So the Iowa corn farmers get no money from the government which would artificially alter the price of corn ?
And this money that the government does not give to the farmers did not come from taxes which did not alter the price or availability of some commodity or benifit to some other sector of the community ?
The new casting plant being built in Mitichigan for GM funded by a "loan" from the Obarma government $4.3 billion from memory but I would have to go through some back issues of the Americian Foundryman to check the actual number as it was 6 years ago the story broke.
So the USA allows any product to be imported without Free Market skewing import duties being applied ?
Don't tell that to the Cuban cigar makers.
And of course there is no such thing as advertising trying to pevert your values or alter your perception of what you buy is worth ?
and of course in a "Free Market" both parties are fully aware.
Did all the people who bought the Ford (Pintara ?) with the plastic fuel tank which split and incinerated a few hundred families know about the fuel tank before they made the decision to buy that particular car ?

There is no such thing as a "Free Market" anywhere in the world in any product between any two people.
It is a myth simplified so that the basics of economic theory can be taught to 15 year old economics & commerce students as happend to myself.
However by the time I was 18 my teachers had also shown us that a truly "Free Market" did not exist but it was the best tool available to try & understand what was happening.

However if you really want to religiously believe that you have a "Free Market Economy" then you will hear no more about it from me as I never attempt to alter some ones religious beliefs.

I think you are confused. The pintara was a Nissan automobile (built in Australia by the way). Don't see how an Australian built Nissan car has anything to do with the U.S. Market. I would also like to know what money the government gives farmers for corn, as my whole family has farmed for generations and have not received their money. I can tell you that the price of grain, cotton, cattle, etc is influenced by supply and demand. When the supply exceeds the demand the price is low. When the demand exceeds the supply the price goes up.

Btw, if you are talking about the Ford pinto the number of deaths from rear end collisions that caused the fuel tank neck to break and cause a fire was actually 27 not hundreds (3,000,000 pintos manufactured). That was proved to be no more than any other comparable car in the 70s. Get your facts straight before pretending to be so well informed on U.S. History.

 

[ILENGINE]

According to what I found with a little searching there was $84 billion in corn subsidies and $12 billion in direct payments to farmers from 1995-2012. That doesn't include other subsides such as cotton.

One farmer that I had found had received $3.6 million is government subsidies from 1995-2012

 

[reynoldston]

Economics is neither religious nor political. But if someone is offended by that, go ahead and delete my posts.

Sorry but it wasn't your post that I was talking about but I will keep names out of it, keep it coming I am on your side you had a very good comebacks.