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Against Monopoly

defending the right to innovate

Monopoly corrupts. Absolute monopoly corrupts absolutely.





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The Myth Of Free Markets In Media

Quote of the day from Robert W. McChesney, responding to Glenn Reynolds:

Our media system is not a "free market" because it is built largely upon extraordinary government subsidies. The government has been in the middle of building our media system from the beginning. Perhaps no other industry this size has anywhere near as much direct and indirect government support and involvement. Consider the value of monopoly licenses to radio and TV channels or monopoly cable TV franchises. Or consider the value of copyright protection, a government created monopoly privilege. We are talking tens of billions of dollars in annual subsidies. The list goes on and on.

I am not opposed to government subsidies. I think they are unavoidable. Like Madison and Jefferson, who instituted enormous printing and postal subsidies to spawn a vibrant press, I believe they are the price of building a democratic media culture. The problem in recent times is that the policymaking process has gotten so corrupt that the giants firms that dominate media and telecommunication give back very little in exchange for the bounty bestowed upon them. We hear a lot of PR hokum about brilliant entrepreneurs and free markets. But huge corporations like AT&T and Comcast were created based on government monopoly licenses. Their "competitive advantage" comes with owning politicians and regulators, not serving consumers. They are doing everything they can to use their domination of politicians to lock in control over the Internet, and make it their private fiefdom. They want to terminate the egalitarian genius of the Internet, Glenn, which captivates both of us. These firms would not know a free market if it kicked them in the butt.


Comments

Robert W. McChesney sounds like a reasonable chap.

Probably needs just a tad of help moving from CC-NC-SA to CC-SA (understanding why the NC is counter productive), but could be worth keeping an eye on www.freepress.net.

:)

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