Lynne Kiesling Alex Tabarrok made some comments on the proposed ATT/T-Mobile merger that reflect my own thinking on the subject: a la Williamson, the benefits of the cost savings from the merger may well exceed the reduction in consumer surplus from any price increase arising from going from 4 national competitors to 3. Alex also … More The ATT/T-Mobile merger and spectrum policy
Michael Giberson At AidWatch, an interview with Dierdre McCloskey, author of Bourgeois Dignity: “Don’t be snobbish towards merchants & entrepreneurs, and you’ll develop.” Short, and to the point, so likely worth a few minutes of your time to read. Here is a shorter and even more to the point summary of her message: History shows … More Dignity and liberty for ordinary people brings social growth and development
Michael Giberson Christopher Mims explains a “A Web Scam that Makes $500,000 a Month” in MIT’s Technology Review. In essence, a web programmer set up websites to generate revenue off of pay-per-click or pay-per-impression online advertising. That isn’t the interesting part, since many folks have tried to scam money this way. The interesting part is … More Concentrated benefits, dispersed costs: million dollar fraud that no victim has strong incentive to fight
Michael Giberson And if Andrew Kleit thinks that the Pennsylvania state government is toying with a bad idea (see previous post), look what is going on next door in New Jersey and Maryland. In New Jersey: “Utilities challenge New Jersey law while preparing to reap its benefits.” In January the Governor signed a law which … More Meanwhile, more “power market and the state” battles in New Jersey and Maryland
Michael Giberson Also in the Spring 2011 issue of Regulation magazine is Andrew Kleit’s article on a proposed Pennsylvania Power Authority. In the course of explaining why such a state power agency would be a bad idea, Kleit explains a lot about how the wholesale power market works in Pennsylvania (and elsewhere). Noteworthy is Kleit’s … More Would a ‘Pennsylvania Power Authority’ be good for Pennsylvanians?
Michael Giberson The Spring 2011 issue of Regulation magazine carries my article, “The Problem with Price Gouging Laws.” One bit: Economists and policy analysts opposed to price gouging laws have relied on the simple logic of price controls: if you cap price increases during an emergency, you discourage conservation of needed goods at exactly the time they are in … More “The Problem with Price Gouging Laws”
Michael Giberson A fool and his money are soon parted. –Thomas Tusser. Potassium iodide supplies in the United States have run low and the price shoots up. What sold for $10 or $20 dollars a week ago is now priced from $30 to $75 and more. Some cry “price gouging!” Regulation magazine has just published an … More Price gouging for potassium iodide pills