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SoBaus

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#1 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="LJS9502_basic"]I have a business degree. So stop the condesending comments. Any business that does continues to not create profit will soon be out of business. It IS the reason why companies go out of business. You cannot continue to run in the red.

LJS9502_basic

I also have a business degree (but not from a JR college), but companies like twitter and google had no profit model for a very long time. Executive pay is only increasing over and over again... increasing the earnings gap many times over between the average employe salary.

Again with the ad hominem attacks. I went to a university that was accredited in business. What you are posting in this thread is contrary to the business discipline. Yes...new companies will not generally be profitable for a bit. Then they either become profitable....or they no longer exist. Period. The tax code gives companies a few years to run at a loss. After that they can no longer continue to claim a loss as the government now considers them to be a hobby....not a business. So that safety umbrella is removed.

I graduated from UCONN business school, which i believe is like top 10 or 20 in the country. You sound like an accounting major and not a business major.

The value of a company is beyond profits. And companies like google subsist on their reputation as during the search engine wars, they had the worst positioning and they couldnt even sell themselves. Google exists based on customer feedback and loyalty alone.

Thinking everything has to be profitable is the same reason republicans cant understand the value of infrastructure. For instance, do you own a home? are you making profit off that home? based on your very simplistic logic, clearly you shouldnt own that home then.

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#2 SoBaus
Member since 2011 • 546 Posts

[QUOTE="Engrish_Major"]The cost of some food will go up.airshocker

Brother, corn syrup is used in A LOT of food.

Those who can't use corn syrup anymore will have to go to regular sugar, which will also skyrocket in price. Anything requiring sugar, or sweetness of any kind, will go up.

only reason sugar is so expensive is because of import quotas. And the only reason corn syrup is so cheap is because of corn subsidies.

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#3 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="LJS9502_basic"]Again....increased cost of production....which ending subsidies will do...means the cost is passed on to the consumer making the product more expensive. It is basic economics.LJS9502_basic

I can see you have only taken economics 101. There is a reason walmart went to a profit losing model, after trying price increases during this recession... ill give you a hint, its not because they cant afford econ 101 grads to tell them what to do.

I have a business degree. So stop the condesending comments. Any business that does continues to not create profit will soon be out of business. It IS the reason why companies go out of business. You cannot continue to run in the red.

I also have a business degree (but not from a JR college), but companies like twitter and google had no profit model for a very long time. Executive pay is only increasing over and over again... increasing the earnings gap many times over between the average employe salary.

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#4 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="LJS9502_basic"]Again....increased cost of production....which ending subsidies will do...means the cost is passed on to the consumer making the product more expensive. It is basic economics.Mafiree

I can see you have only taken economics 101. There is a reason walmart went to a profit losing model, after trying price increases during this recession... ill give you a hint, its not because they cant afford econ 101 grads to tell them what to do.

Firms maximize profit or cost minimize.......

not so simple, have you ever heard of the term loss leader? If you went to a business school, you should have.

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#5 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

Good point the soviet union collapsed, which is canada has better health outcomes for half the price..... because of the soviet union. We have to end all intellectual reasoning because of the soviet union.

Fair point.

airshocker

Canada has a mixed healthcare system system, by the way.

Not everything from the Soviet Union has to be nixed, but certainly most of it's economic policies.

My point was, there are much more success stories of free-market capitalism than there is of systems where the government is the central-planner.

So I don't see why conservatives are coming under fire in this thread when for all intents and purposes full government control is bad, and free markets are good.

heres the point, not everything has to be black or white. How about you tell me the benefits of the free market, then ill tell you various businesses the free market will not benefit and the government could do better.

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#6 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="Mafiree"] Economics 101LJS9502_basic

in terms of economics if you are graphing supply and demand curves, they dont take subsidies into account. So economics 101 is a worthless class, because without subsidies to corn and oil... the economy collapses.

Again....increased cost of production....which ending subsidies will do...means the cost is passed on to the consumer making the product more expensive. It is basic economics.

I can see you have only taken economics 101. There is a reason walmart went to a profit losing model, after trying price increases during this recession... ill give you a hint, its not because they cant afford econ 101 grads to tell them what to do.

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#7 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="airshocker"]

Because, you know, free markets haven't been a success in most countries that use it. :roll:

The Soviet Union must not have collapsed due to the astounding ineptitude of a centrally-planned economy.

LJS9502_basic

Good point the soviet union collapsed, which is canada has better health outcomes for half the price..... because of the soviet union. We have to end all intellectual reasoning because of the soviet union.

Fair point.

The health care itself in the US is second to none. In fact....it's quicker to get the care in the US. The reason Canada is rated higher is because it's socialized so there is no uninsured people. But the care...I'd take ours over anyone else's in the world.

You ever actually been to an ER? even if they just tell you to take some tylenol, it costs $2,000 and yea you gotta wait.

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#8 SoBaus
Member since 2011 • 546 Posts

[QUOTE="SoBaus"]

[QUOTE="Mafiree"] If you mean just ending subsidies, everyone will be become less well of. Particularly lower-middle class families who pay larger portion of their income on food. If you mean adjusting subsides, I would be all for that.Mafiree

how do you figure? unless the free market cant exist without subsidies? In which case free market principle would be a failure.

Economics 101

in terms of economics if you are graphing supply and demand curves, they dont take subsidies into account. So economics 101 is a worthless class, because without subsidies to corn and oil... the economy collapses.

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#9 SoBaus
Member since 2011 • 546 Posts

Because, you know, free markets haven't been a success in most countries that use it. :roll:

The Soviet Union must not have collapsed due to the astounding ineptitude of a centrally-planned economy.

airshocker

Good point the soviet union collapsed, which is canada has better health outcomes for half the price..... because of the soviet union. We have to end all intellectual reasoning because of the soviet union.

Fair point.

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#10 SoBaus
Member since 2011 • 546 Posts

[QUOTE="Engrish_Major"][QUOTE="Mafiree"] I don't have numbers and I don't need them really. It is simple economics though. The increase cost of production will be past down to consumers. Mafiree
Still though - what about the cost of subsidized, unhealthy food vs. the cost of unsubsidized, healthy food? If unhealthy food becomes more expensive, and healthy options become cheaper because farmers actually start growing them again, then what's the harm?

If you mean just ending subsidies, everyone will be become less well of. Particularly lower-middle class families who pay larger portion of their income on food. If you mean adjusting subsides, I would be all for that.

how do you figure? unless the free market cant exist without subsidies? In which case free market principle would be a failure.