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Often political decisions are driven by short term concerns with no real idea about the long term consequences and there is no way for an individual to opt out. If a company makes a bad deal, they will eventually go out of business or renegotiate the deal (the other party doesn't want them to go out of business). There is no such constraint on the government, you can see this in all sorts of decisions.

Some examples: 1. Burning crops while people starved during the great depression. 2. Printing tons of money, devaluing the currency. 3. Current Cable Monopolies. 4. Software Patents 5. Never ending copyrights 6. The war on drugs 7. Prohibition 8. All sorts of developing countries that take on massive debt. 9. Paying farmers not to produce 10. Minimum wage laws 11. Maximum hour laws (can only work 35 hours a week)

Just to name a few.

I understand the concept of network effects, but you have to remember to look at what else that money could be spent on -- that is what is truly hard. By subsidizing rural/suburban living we encourage it and thus people waste more time commuting, wasting fuel, increasing traffic, requiring more subsidies (larger roads) and so on.

People need to understand that the market is the worlds most powerful information system -- it instantly conveys the wants/desires/needs of every individual in the world.



By subsidizing rural/suburban living we encourage it and thus people waste more time commuting, wasting fuel, increasing traffic, requiring more subsidies (larger roads) and so on.

Interesting that you would pivot from a pro-market position into a social engineering one. Those two usually don't go together.

Look I've paid for the T-1 line to be ran 200 miles so I could have high-speed internet -- and I did this back when you could count the number of T-1s in my area on both hands. So I don't mind only having those who can afford it pay for it.

But I also understand that this country is huge, and spread out. And I don't want to encourage people to live anywhere. If you asked my druthers, I'd want them staying at home in rural America, on fiber, and living more of the agrarian life that the urban one. But that's not the point.

The point is that the community as a whole has a vested interest in infrastructure: roads, power lines, and communication. It's the same argument as national defense: government does really badly at some things, but there are some things that it's the only effective player to pool resources and common interests. That's not a license for socialism, that's just saying that a piece of wire to every home -- phone, power, or internet -- is a political issue much like how many aircraft carriers we need. If we left it up to individuals to decide the response wouldn't be uniform enough, and uniformity is the one requirement that these attributes need to have.

Communication and electric power aren't like pork bellies and automobiles -- they are extensions of our powers as individuals: our power to innovate, collaborate, discover, and create. Hell, it's more like gun ownership than buying pork-chops at the supermarket. They are a hell of a lot more critical than health care or consumer protection.

I'm absolutely for a maximized free market. But the argument here is that limited communication abilities reduces information in the market, stifles innovation, and limits choices. That's why I chose the greater freedom of universal high-speed connectivity -- not as a government bureaucracy, but as government defining the markets so that all the players meet all the needs.


I'm enjoying this conversation/debate :) Feel free to email me, if the reply delays get too long.

1. All interventions in the market are social engineering, it may not be intentional, but subsidizing/taxing certain behaviors encourages/discourages them.

2. I'm all for getting fiber to every door step. I'm just disagreeing with the approach. There is no reason that individuals couldn't form a co-op, or some other nonprofit, or even for profit company together to provide their internet.

3. I'm going to disagree with the national defense thing on two points. A. The government's sole purpose is defend your rights, national defense is defending your rights from foreign enemies. B. The government has a monopoly on force (except for certain self-defensive purposes).

The community has a vested interest in infrastructure, but if you actually look at what goes on with it is ridiculous. The mass pike was supposed to have tolls removed years ago, but through all sorts tricks they manage to keep the tolls. The big dig, also in boston, cost Billions of dollars for a tiny tunnel.

So my final points: 1. Without competition and voluntary interaction we don't actually know what the value of something is -- high speed is important to some, while for others 56k is enough for them. 2. For almost anything people propose the government should do, a private nonprofit could be created to carry out the same task. 3. Organizations and nonprofits are more driven by results than politicsl they don't want to merely show that they're taking action. 4. Nonprofits/Foundations deal with many critical issues that most people don't realize/know about. For example, the Ford Foundation with regards to Russian studies & American foreign policy/defense. 5. It is very hard to compete against the government since they don't have to make a profit, can alter rules to their advantage, and lastly they don't pay taxes :)

I think I addressed your points above.


I think you're making a case against government intervention in the market, and my argument is that government has a role in defining the market. It's a different concept.

As for government protecting rights -- right on. But this gets to whether you view connectivity as an arbitrary service or product or something else. I think the problem we have is that the old metaphors are not descriptive enough. Access to the computer, the internet, and the electric grid are extensions of my person, not external entities. Of course the amount that I have of these things are dependent on my actions, but access to them should not be.

That's not an argument in favor of the government regulating or providing anything, btw. the market can and should provide value based on need -- once I have free and open access.

Computers and connectivity are extensions of our brains, and should not be controlled, even passively, by government. By ensuring connectivity and processing ability, the government is actually getting out of the way of citizens performing their daily lives, not intruding in on them.

We see the same "bad metaphor" problem with Digital Rights Management. If you view the computer as some sort of super record player that folks plays songs on, then perhaps the government has a say in what happens there? (because it is somewhat of a performance) But if you view computers as an extension to people's brains, as they surely are becoming, then controlling what goes on seems silly at best and evil at worst.


You're making a very common mistake here. If the barrier to entry in a new market is prohibitively expensive then there is no free market, just a de facto monopoly. By having the local government own the infrastructure and then lease the lines to ISPs who provide actual service, you get competitive rates in service while anyone and everyone can use the common lines.


I think there might be a slight miscommunication on time scales. I don't believe that any monopoly, except those granted by the government, can maintain its status as a monopoly forever. I believe that in 10 - 15 years the monopoly will lose its grip on the market. It may still be a major player, but it won't be calling the shots. So there is a barrier to entry, eventually someone will enter the market; unless of course the monopoly is losing money or was subsidized by some other entity in which case those using it are getting a good deal -- it cost more than they spent.




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