Free advice for Communists, Socialists and general anti-business types

I came across a pro-Communism blog when the owner commented here.  He basically encourages people to do all manner of evil to fight: evil.  How consistent.

My advice to people like him: Hey, if you and your comrades are so smart, why not form your own corporations and run them by your definition of good ethics.  Then you’ll have such a swell place to work that you can hire away the best and brightest from your evil competitors, right?  You can put them out of business and do it legally!  You don’t even have to resort to violence.  (Disappointed?)

If you think that the evil insurance companies charge too much, then pool your resources and start your own insurance company.  Beat them at their own game!  You’ll either drive them out of business or force them to reduce prices and increase benefits to compete with you.  Not only are you more righteous than your competition but you are smarter as well, right?  You can’t lose!

You know you have the skills to know your markets, follow all the tax, financial reporting, environmental, labor and other laws, keep your employees safe, make payroll, create and run efficient business processes, and so much more.  And you can do all those things better than your enemies.  Beating them will be so easy.

Or do you know how to do any of that?  Would that be too much work?  Isn’t it easier to plot how to take down “the man” and then release some endorphins?

And what is your plan once you take down the evil corporations and trash everyone’s retirement accounts?  Who will be left to pay taxes to support all your dreams?

I know a little bit about business and how jobs are formed, and it is tragic that Obama’s cabinet has, by far, the least business experience of any administration. I know what sends jobs overseas. They have no idea what creates real, lasting jobs — the ones that ultimately fund the government.

As I’ve said before, capitalism has its rough edges but it beats out every other “-ism” in a serious way.  Its critics never seem to realize that their plans bring the “killing the goose that laid the golden eggs” story to life.

0 thoughts on “Free advice for Communists, Socialists and general anti-business types”

  1. I know what sends jobs overseas.

    So do I. The company I work for has sent over 10,000 jobs overseas in the past 5 years. They sent them overseas because they can get people to do the work for cheaper there, and they know that if all the big companies do it, they won’t suffer in the marketplace. I’m sure every executive feels bad about it in a way, but as a collective, they spread out that guilt enough to sleep at night.


      1. Yes. Compaq shipped tons of jobs to Singapore – manufacturing and design – back in the 80’s / 90’s. When I was a Finance Manager for Houston Manufacturing it was really hard to keep business in the U.S. The lower tax rates elsewhere was the equivalent of the Singapore getting to assemble their products for free. Kinda hard to compete with that.

        Meeting with the Singapore Economic Development Board was one of the most fun meetings of the year for me when I was the Controller for the Portable Division. They offered huge tax incentives, training grants and more in a business friendly atmosphere.


      2. Singapore and Hong Kong are the two freest economies in the world. Neil: I am overjoyed that you left that comment that you just did. Your experience will convince many people here to think twice about this, I hope. We need to LOWER corporate taxes, and to STOP SPENDING.


    1. High tax rates, as WK pointed out on another comment, drive jobs overseas. I saw it over and over.

      And why do you have such disdain for the people overseas who get those jobs? The people in Canada will have plenty because the gov’t will take care of them. The people where those jobs go have no such luxury. Don’t be so heartless.


    2. Wow. Ryan, it is funny because I can usually guess what your comment will be before I read it.

      I guess you don’t take the lowest bid for goods and services, even it if means going outside your local area? I am sure you are consistent about that across the board? As an internet user you have never purchased an item over the internet, at a lower price, instead of purchasing from a local retailer?

      What is good for the goose is good for the gander.


      1. I don’t get it. I’ve said that I’m a capitalist, and that it is the best system. I often buy things online wherever I find the cheapest price, but I also pay much more for some things so I can support local business. I’m just pointing out some downfalls of capitalism, and you can’t seem to take the criticism.

        Are you really in favour of corporations hiring the cheapest labour available, no matter where in the world they find it? I believe corporations should have incentives to spend their earnings in the area where the earnings were made wherever possible.


      2. I believe that corporations will pay for quality over purely saving on cost. That is why many companies that tried outsourcing a few years ago ended the practice. Of course bringing jobs back from over seas doesn’t get the press coverage that shipping them out did.

        So yes, let corporations do that. It will either work for them or it won’t.


    3. I think both sides are right in this issue. People will send jobs overseas because it is, indeed, cheaper. But why make the issue worse by making it even more expensive through payroll taxes and the like? But that being said, jobs will still be sent overseas. Nevertheless, the global economy is a complex issue, and jobs overseas may seen like a negative (who doesn’t want more jobs here, right?), the net effect is still positive. Cheaper goods do have a driving force in the economy, which is made possible by a global economy.


      1. Good point. Socialism would not have created the iPhone.

        The dumping / cheap labor thing is tricky. On a broad scale you can make a case that if people want to send us really inexpensive things and their countries take the losses then more power to them. As long as we keep a vibrant economy going then people can shift jobs just as they do when technologies put things like cassette tape and buggy whip makers out of business. Protectionism sounds good but has some nasty unintended consequences.


  2. I agree in general regarding capitalism. It’s just that it’s a bit like owning a German Shepherd, you need eyes in the back of your head to stop it biting you on the ass.


    1. Still a better economic system than any other out there. Most people that bad mouth capitalism have no problem enjoying the benefits of capitalism.

      For instance, most people will buy a similar product at a lower price, over one that costs more. However, there are reasons that company A can sell an item cheaper than company B. Outsourcing, buying foreign materials, using migrate workers etc. are all ways that companies control costs in order to provide cheaper goods and services.

      People will rail against those practices and then choose products at lower prices despite those prices being a product of what they railed against!

      Anti-capitalists rarely drink their own kool-aid.


      1. I have mixed feelings on what the gov’t should do with monopolies. I’m against them, of course, but sometimes the attempts to fix them are counterproductive.

        We had to deal with two monopolies at Compaq / HP: Intel and Microsoft. Every time I’d be in a meeting with Intel people I’d mutter to myself, “There is a reason monopolies are illegal.” They were rather unethical in my view. They coached employees how to milk information from every level of their “customers,” even though they didn’t treat us like customers.

        Microsoft was awful as well. I was glad to see Linux come along, and then Google.


      2. Interesting how the market seemed to work it out itself, isn’t it? Versus say the MaBell split up, which in the end wasn’t very effective. Instead of one big monopoly the government’s idea was to make several local monopolies!??!

        Choice. Government could fight monopolies best by doing what they can to encourage choice. For instance, I where I live I can have ABC co for cable TV, or no cable TV. (I can get satellite, but still.) I can have XYZ co for gas and/or electric, or no gas and electric. Guess who allows these monopolies? GOVERNMENT.

        My local government should be working to allow competing companies in. I guess my whole diatribe is a long way of saying that the worst kind of monopoly is a governmental monopoly.


      3. I agree with that Neil, but it should be noted that Linux is a project headed by people who are most definitely anti-capitalist.

        The problem with monopolies is that it is the end goal of all corporations to become one. It is always best for the consumer to have choice, but every corporation is in the business of reducing that choice, and once they do, the incentive of keeping the customer is gone. Your example of Microsoft is a great one. Name one innovation that came out of Microsoft during the period where they had a solid monopoly. Nothing. MS has only been an innovator in the very beginning, and now that they are facing real competition, they are starting to invest in innovation again.


      4. So we agree: competition is good. That is why gov’t run health care, autos, school loans, etc. is bad, be cause they are a monopoly with guns. Banning corporations is not the answer.

        Sent from my iPhone


      5. The difference is that we don’t get to vote for the people who run the corporate monopolies, and decide if they are doing thing in our best interest.

        With the government, they are our collective employees, and as long as there is an intact democracy, they are at our mercy. Their goal in the health care system is to have fewer customers, not more, and the way to do that, in health care, is to provide the best care up front, as early as possible. That is significantly different that a regular business model.


      6. You can vote all you like by shopping elsewhere. You act like were inundated with nothing but monopolies. Not from where I sit. Not even close.

        Sent from my iPhone


      7. I agree with Neil. It can take 4 to 6 years to make a change with democracy.

        If government monopolies are so great, why aren’t we happy with our public school system?

        Also, government “theoretically” is concerned about our best interest. But in reality, it is not. Government bureaucracy is made up of individuals who may or may not have my best interest at heart. If I go to the DMV, do you think that person necessarily cares if I walk out of there happy or not?

        Hospitals are a complex business case, and many times they are conscerned about their bottom line, but why people don’t think this would be the case with gov’t hospitals puzzles me. You say gov’t hospitals want as few customers as possible. This will not always manifest itself positively. They can simply refuse to see people. If private hospitals see people as people who will give them money, public hospitals see people who will cost them money. I would rather be the former.


  3. Great post Neil! People like the blogger you site probably have never taken a financial accounting course. They are ignorant of everything that goes into the creation, maintenance, and running of a corporation.

    Financial Accounting 101 would open a lot of people’s eyes, at least those that are willing to have their eyes opened.


  4. Just a side note, the illustration of the German Shepherd should include that the dog is rabid. Most capitalists are not out to hurt their customers… but to keep them coming back for more. Only those like Al Gore, seek to deceive their customers.


  5. “Most capitalists are not out to hurt their customers”

    Yes, I have noticed that, in the long run, hurting your customers always ends badly. Even without legal or governement involvement. Yet it is surprising the number of people who think big business is out to harm their customers.

    As I have said before though, no “…ism” will succed without God. When you keep God out of your government and your schools, that always ends badly too.


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