4 ms·
don't forget hotel rooms ( airbnb ). I think you're point of frustration is not really about economic freedom, but a recognition of the senescence of our socie
by guimarin 14y ago
don't forget hotel rooms ( airbnb ). I think you're point of frustration is not really about economic freedom, but a recognition of the senescence of our society ( in the US ). As societies get older, literally and population wise, they tend to get more conservative. E.g. it's much easier to be a medical device entrepreneur in India than the US.
There are pros and cons to greater regulation. Established cities like SF, DC, and NYC, limit the number of taxis because there are literal hard limits on all the gov't provided functions around taxi's, including regulation of 'expectation of legitimacy,' and managing traffic congestion. In the case of hotels and to a lesser extent restaurants, there are zoning, housing, and infrastructure investments that cities have made from a gov't perspective and a private perspective that, AirBnB and FoodTrucks throw out of whack. Reading this article you see how much regulation FoodTrucks are now starting to come under, to try and bring their 'perceived' quality in line with that of a restaurant. It's hard to find arguments against this, other than, it is now demonstrably harder to be a new business. The same is not yet happening with airbnb style 'hotel' rooms because there is more money and the players are bigger.
I think the real problem is that the gov't is poorly organized to deal with the wisdom of crowds. I don't need a hotel regulation agency as much for an airbnb type rental because the economic interests of the 'landlord' are such that my 'review' really counts. personally, I'd prefer airbnb, food trucks, and uber to their respective old-world counterparts, precisely for the reason that it's much more difficult for regulatory capture given those de-centralized models. But there are legitimate arguments on the other side, around investment, community goals, and 'safety'. Unit economics in each of these cases make it much harder to systematically screw the customer. Now if only we could disrupt telecom this way, so I can stop dealing with Comcast.
- Shivetya 14y agoTaxis are limited at the behest of established taxi companies. Just how zoning laws are used to keep competition down. Food trucks are simply hit by FUD spread by traditional restaurants as well as established food trucks. It is not really different than regulations requiring that interior designers, hair dressers, and the like, having to be licensed and insured and whatever else. Existing groups use their connections to politicians to get laws favorable to them and not favorable to competition. It has nothing to do with society becoming more conservative as it ages
- guimarin 14y agoI hear your points and thank you for making them, as my post is totally all over the place. As to your point about societal senescence, I was wondering if you had a ready example of regulatory capture in a non-mature market.
- protomyth 14y agoI think I'm more in the littlegiantcap frame of mind and say I chalk it more up to greed of existing players and attempts to create an artificial monopoly. I honestly believe that an amendment that specified no level of government may create artificial limits on business licenses except in the case of natural resource usage would do wonders for competition in the USA.
- thaumasiotes 14y agoAs stated, your amendment isn't going very far; for example, it's hard to operate a taxi without consuming gas.
- protomyth 14y agoAlthough my faith in the court has been tested, I am pretty sure indirect attempts at limiting gas in taxis to enforce licensing will be seen for what they are. The last decision against the EPA in the Supreme Court gives me that hope.