Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: CapitalistHogg™ who wrote (10400)	12/21/2007 11:01:09 AM
From: Lhn5	Read Replies (2) \| Respond to of 24758

A defect in your example is that do you think that Drug Dealer A's boss cares or suffers when Dealer A is shot in the head? Dealer A can probably be replaced quite readily. The boss is probably much lower risk then Dealer A was, but Dealer B certainly not at zero risk either.

To: CapitalistHogg™ who wrote (10400)	12/21/2007 11:44:47 AM
From: ahhaha	Read Replies (1) \| Respond to of 24758

Since there is a never ending stream of different customers the incentive to 'rip off' the occasional dumbass suburbanite is very high. No one is "ripped off". The suburbanite is happy with the transaction. At the same time there is no free market here because the dealer does not reveal prices. There is no reason for cooperation with every customer that drives up to his corner. Cooperation can't be defined in free market theory. One day a ripped customer comes back and shoots Drug Dealer A in the head. Must have got price info from a jumped 'nect. It is in his best interest to coordinate and cooperate with his customers No coordination. Coordination can't be defined since the dealer doesn't reveal any pertinent info to anyone. No cooperation. Please define how cooperation works here. Price discounts? Since there's no price info no one knows whether the presumed discount isn't merely a ripoff. because he knows that if he rips them off there could very well be consequences for his actions. Demand is price inelastic. a. they could call the police and have him arrested. Police bust snitches under conspiracy charge. Police claim they pursue dealers, but they bust customers too since there is no distinction between dealer and customer. In the '70s half the fifth grade class was dealing to the other half, and the roles would change depending upon who could get the good stuff. b. they could retaliate with violence and/or theft. Not a free market because there is no rule of law. or c. drug dealer B would have to go out and find a new customer thereby exposing himself to unknown variables (idiot big mouth, thief etc) plus why take the time to establish a new relationship when the one you have is working just fine? Loyalty is thin in the biz. Drug dealer B is cooperating and coordinating his efforts with his customers. A is no different than B. B uses perks to "ripoff" his birds. ..he is looking out not only for his best interests but also for the best interest of the group. B does not know the best interest of the group. No one knows that in any kind of market, free, fair, black, or white. Presuming to know that invites failure, collusion, and chaos. "Free markets work BEST when one looks out not only for their own interest but for the best interest of the group." = socialism. Adam Smith was wrong. Smith was right. You don't know Smith's works. You exclude them unknowingly because like most, you've been raised in an environment of socialism. This environment and its educational facility evades Smith. There's a long history why. It has to do wealth envy and the belief among average income people that wealthy people lead better lives than average income people. PS(I used a black market example because IMO black markets are the ultimate form of capitalism) Adam Smith would tell you that a black market is antithetical to a free market. Indeed, a black market arises when authority stops the function of a free market. A set of transactions does not define a free market, only a market.