Fighting For the Pole

Business, Protectionism
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In the era of franchised unisex stylers like Supercuts and Great Clips  it’s hard to imagine that barbers and cosmetologists are fighting over who can have a barber pole advertising their shops.  The latest legislative fights over the swirling red, white, and blue poles are in the states of Minnesota, Michigan and North Carolina.

“The barber pole is the oldest sign in town besides the cross. It should not be displayed where there is not a licensed barber,” long time Arkansas barber Charles Kirkpatrick, told the Associated Press.  Kirkpatrick keeps tabs on such legislation for the National Association of Barber Boards of America.

Notice Kirkpatrick said “licensed” barber.  The implication is that the licensing signals to the customer that a certain level of quality can be assured by the government’s stamp of approval.  Yet according to Morris Kleiner, “Occupational licensing has either no impact or even a negative impact on the quality of services provided to customers by members of the regulated occupation. Additionally, as occupations become licensed, members of regulated occupations see their earnings go up.”

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A Pirate Gets Licensed

Business, IP Law, Protectionism
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Obtaining an unlimited gaming license in Nevada isn’t easy.  The Gaming Control Board does months and months of investigation into an applicant’s past.  No stone goes unturned.  Youthful mistakes can keep a potential owner from opening for business.  Instead of customers deciding who has the requisite morals to plug in the slot machines and roll out the green felt, government gumshoes and politically-appointed wise ones decide who is worthy.  Casino patrons must be protected.

Legend has it that Benjamin “Bugsy” Siegel was driving through the desert, envisioned an oasis, built the Flamingo, and created Las Vegas. That’s not the way it happened.

Casino gambling was legalized in 1931, and Siegel’s Flamingo flopped when it opened in December 1946, after successful premiers of other hotels. “In reality,” John L. Smith explains in his book Sharks in the Desert, “[Meyer] Lansky and several lesser-known racketeers, together with some plain old transplanted gamblers, played much greater roles than Siegel.”

One of those gamblers was Benny Binion, who left his Dallas bookmaking and racketeering empire and set out for Las Vegas in 1946 with his wife and children. Binion’s Horseshoe Club in downtown Las Vegas was a fixture from its opening in 1951 until his daughter, Becky, ran it into the ground in 2004.

The ability of gamblers and bookmakers to leave their clandestine operations behind in the east to re-open them unfettered in the bright sunshine of Las Vegas ended in 1955, when the Nevada Legislature founded the Nevada Gaming Control Board and the Nevada Gaming Commission.  Some long-time Nevadans observe that the Silver State has gone down hill ever since.

While Las Vegas was settled by gamblers and made men, Nevada’s newest licensee is a 65-year old singer/songwriter who turned 15 minutes of inspiration into a business empire.  Applicant James W. Buffett penned a little ditty back in 1977 called “Margaritaville,” that would spawn a happy-hour movement of the middle-aged.  The parrothead anthem has blossomed into an unmistakable brand for Buffett’s retail stores, restaurants, consumer products, and now, casinos.

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Bastiat Weeps For The Billionth Time

Business, IP Law, Protectionism, Technology
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@pablodPablo Defendini
LOL self-pub is the new piracy! “@DigiBookWorld: Heard at #dbw12: Self publishing costs publishers $100 million in opportunity”

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Are All TV Commercials Aimed at Ignorance?

(Austrian) Economics, Business, Education, Environment, Pop Culture, Technology, The Basics, The Left, The Right, Uncategorized
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Pretty much everyone knows–or should know–that many, and maybe most, of the points made by most politicians are of little value, amounting to little more than equine feces at best. A commercial I saw the other day illustrated that the same is true of TV commercials. (Yes, I realize that’s no discovery. But still…) The advertisement I saw featured a clean-cut young man making a pitch to “buy American-made gasoline at Kwik Fill” because doing so “strengthens our economy.” Do people believe that type of thing? The short answer is:  Yes. How do I know? Because presidents–and presidential candidates–have been saying pretty much the same thing for close to 4 decades, beginning with Nixon and continuing right up through Obama.

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Who Should Control the World?

Anti-Statism, Business
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In the days following the gift-giving holidays, many millions of people stand in judgement over the quality of the gifts they gave and the gifts they receive. Did they arrive on time? Did the quality hold up? Did the reality match the advertising hype? The Internet ads an extra wrinkle. Anyone dissatisfied can post blistering attacks on any merchant and the product in questions. Anyone can vote up or vote down.

The down votes are what make the news. The Wall Street Journal tells the story of Scott Mitchell of Connecticut, who purchased from Best Buy and Playstation 3 for his two sons ages 10 and 14.The company let him know via an email that the goods didn’t arrive. He was furious and wouldn’t stop posting diatribes against the company. Eventually, the suits got involved and sent him his full bundle of goods at a low price plus a $200 gift certificate.

“While I can’t say I’m happy, I wound up being satisfied,” Mr. Mitchell told the Journal.

The case was cited as one of many such cases. Consumer demand was so intense that Best Buy got behind. The company didn’t have the inventory it needed to fill all requests. Cyber Monday overloaded the staff and they couldn’t respond fast enough. Any business that hears the story thinks: nice problem to have. Inventory decisions like this require daily clairvoyance.

What’s more important here is what this anecdote indicates about the social order. In this setting above, who is in control? Mr. Mitchell is just one lone guy with one problem with a company that serves untold millions. But he had a voice and his voice was heard. The company scrambled to please him.

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