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Boeing is a prime example of the hazards of regulatory capture and "too big to fail." The way capitalism is supposed to work is if you mess up in a competitive
by morpheos137 6y ago
Boeing is a prime example of the hazards of regulatory capture and "too big to fail." The way capitalism is supposed to work is if you mess up in a competitive market you are punished by the market. Further if you deviate from the industry standard of care, in a functioning legal system, you are sued by your customers / injured parties. Instead, in America, for at least the last 20 years there is no real penalty for messing up. The bigger the company the lighter the penalty. This will be the downfall of America. In the case of Boeing, it needs to be broken up. It needs to fail. There is no reason why America can not have 3 or even half a dozen competing jetliner manufacturers. That is how capitalism is supposed to work. In the case of online retail same story with Amazon. Marketing and shipping goods is something that is almost as old as trade itself. There is no reason we need to buy diapers from the same store that we buy an HD TV from. Healthy capitalism is supposed to be about competition and diversity of options where the best quality option rules out. It is not supposed to be about Wall Street or Fed fueled monopolies.
- sofixa 6y ago> There is no reason why America can not have 3 or even half a dozen competing jetliner manufacturers There is - it's an incredibly capital and know-how heavy business, with loooong lead times and huge risk. Just ask Bombardier - a company with plenty of aeronautical experience nearly went bankrupt developing the C-series ( which is a short haul airliner, so not even the most expensive), had to sell off everything they do, and the pandemic will probably finish them off.