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>> Google generates 180 billion in revenue, 140 billion of which comes from ads. The problem with looking at revenue numbers is that they ignore just how profo
by cryptica 5y ago
>> Google generates 180 billion in revenue, 140 billion of which comes from ads.
The problem with looking at revenue numbers is that they ignore just how profoundly monetary policies affect the way the entire system works. A catfish may be a top predator in a lake, but put it in the ocean and it won't survive very long. The position of corporate proponents is to argue that a slight difference in salt content (I.e. interest rates) doesn't change anything when in fact it means the difference between life and death.
>> Well they have been profitable since 3 years after incorporation
Is it a coincidence that they started becoming profitable at approximately the same time as interest rates started to drop? If you compare interest rate charts with Google net income, there seems to be a strong correlation (with about 1 year delay for Google profits to react to changes in interest rates).
>> In economics that's called a competitive advantage
It's called having an unfair advantage by using your connections to governments to shape regulations and monetary policies to create an environment which benefits you and your large corporate customers from which you derive most of your income.
BTW, you don't have to believe me. We will find out soon. The Fed is basically giving corporations free money by the bucket loads now, it's a matter of time before hyperinflation kicks in and we get a revolution. They've made it such that there is no incentive for anyone to do any productive work so everyone will stop working and start scamming just like the corporations are doing. Clearly it works and everyone is getting away with it.