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But then whoever successfully creates a company that replaces Amazon will be wealthy. If the goal is to try to make sure no one becomes and outlier success, we

by troupe 3y ago

But then whoever successfully creates a company that replaces Amazon will be wealthy. If the goal is to try to make sure no one becomes and outlier success, we can't have that. :) People complain that some people get extremely rich but fail to realize that they do so by increasing the average standard of living for a large number of people. Amazon provides conveniences that did not exist 50 years ago and it does make people's lives easier, provides more free time, provides jobs for a large number of workers, provides companies a way to get their products to customers, etc.

jawns 3y ago
Are you familiar with "The Wal-Mart Effect"? It describes the impact on local economies when a Wal-Mart opens. Spoiler: It isn't good. Far from being a net producer of good, decent-paying jobs, it tends to wreck the local competition, driving small-business owners out of business and into low-wage employment. These days, "The Amazon Effect" is probably even more worrisome, because it's much more diffuse. When companies can rely entirely on economies of scale, rather than innovation, to crush competition, it's possible to have immediate effects (such as lower prices) that are beneficial, but knock-on effects (such as the broader impact on the economy and the quality of jobs available) that are insidious and deleterious.
- troupe 3y ago
  Yes. Walmart has a big impact on local economies. Especially small rural communities. Tractors had a similar impact on agricultural workers when they started displacing labor. If you calculate what impact Walmart has had on the average standard of living, would you claim that it has driven it lower? There are obviously going to be some people and segments that aren't able to adapt quickly, but that is the case with anything...and even those individuals are going to benefit from goods being available at lower prices.
  - monero-xmr 3y ago
    It’s amazing how people worship this supposedly perfect former world of “mom and pop shops”, ignoring the terrible prices and selection. Wal Mart won because consumers liked it better - far better. If we wanted to subsidize tiny stores that were worse on every metric, you are essentially making a museum or charity, at the cost of damaging the entire society via higher prices and worse products.

by troupe 3y ago

jawns 3y ago

Are you familiar with "The Wal-Mart Effect"? It describes the impact on local economies when a Wal-Mart opens. Spoiler: It isn't good. Far from being a net producer of good, decent-paying jobs, it tends to wreck the local competition, driving small-business owners out of business and into low-wage employment. These days, "The Amazon Effect" is probably even more worrisome, because it's much more diffuse. When companies can rely entirely on economies of scale, rather than innovation, to crush competition, it's possible to have immediate effects (such as lower prices) that are beneficial, but knock-on effects (such as the broader impact on the economy and the quality of jobs available) that are insidious and deleterious.

troupe 3y ago
Yes. Walmart has a big impact on local economies. Especially small rural communities. Tractors had a similar impact on agricultural workers when they started displacing labor. If you calculate what impact Walmart has had on the average standard of living, would you claim that it has driven it lower? There are obviously going to be some people and segments that aren't able to adapt quickly, but that is the case with anything...and even those individuals are going to benefit from goods being available at lower prices.
- monero-xmr 3y ago
  It’s amazing how people worship this supposedly perfect former world of “mom and pop shops”, ignoring the terrible prices and selection. Wal Mart won because consumers liked it better - far better. If we wanted to subsidize tiny stores that were worse on every metric, you are essentially making a museum or charity, at the cost of damaging the entire society via higher prices and worse products.