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Network Neutrality — Without Regulation

boyko.at.netqos writes "Timothy B. Lee (no relation to Tim Berners-Lee), a frequent contributor to Ars Technica and Techdirt, has recently written 'The Durable Internet,' a paper published by the libertarian-leaning CATO institute. In it, Lee argues that because a neutral network works better than a non-neutral one, the Internet's open-ended architecture is not likely to vanish, despite the fears of net neutrality proponents, (and despite the wishes of net neutrality opponents.) For that reason, perhaps network neutrality legislation isn't necessary — or even desirable — from an open-networks perspective. In addition to the paper, Network Performance Daily has an interview and podcast with Tim Lee, and Lee addresses counter-arguments with a blog posting for Technology Liberation Front."

351 comments

  1. Re:first by Anonymous Coward · · Score: 0

    Stupid post FAIL

  2. human nature by gEvil+(beta) · · Score: 5, Insightful

    As long as companies are involved with some having more sway than others, you can expect them to abuse their position in the name of greed. It's simple human nature. Say all you want about how companies will police themselves or that the market will sort itself out. However, reality has shown us time and time again that this isn't the case.

    --
    This guy's the limit!
    1. Re:human nature by Andr+T. · · Score: 1, Insightful
      I couldn't agree more. I'm tired of all economic libertarians saying the market will rule itself despite many examples showing just the oposite.

      And the worst thing is that many of those so-called libertarians favor the government in the current individual freedom issues we're having (eg: the Patriot Act) and when it comes to 'impose freedom' to other nations.

      --

      Any life is made up of a single moment, the moment in which a man finds out, once and for all, who he is.

    2. Re:human nature by janeuner · · Score: 1

      bleh, market bureaucracy

    3. Re:human nature by gEvil+(beta) · · Score: 0

      That's quite true, too, which is why we have ethics regulations and oversight committees. Or were you trying to imply that we don't?

      --
      This guy's the limit!
    4. Re:human nature by Anonymous Coward · · Score: 0

      Because government interference in the market has worked out so very well for us. Right?

    5. Re:human nature by Progoth · · Score: 5, Insightful

      I challenge you to show me an unregulated market where the government doesn't have its hands in it in some way. Go ahead...I'm waiting.

      And WTF? libertarians support the PATRIOT act or unilateral action against sovereign nations? you know some funny libertarians, and I'm glad I haven't met them.

    6. Re:human nature by Anonymous Coward · · Score: 0

      It has nothing to do with companies policing themselves. It's all about companies being forced to change in order to compete. That's what happens with competition: competition keeps monopolies in check, and greed ensures the consumers always get the best that the greedy can produce. So, if you want to make sure the Internet remains neutral, make sure there's healthy competition. Unfortunately, there isn't much competition right now. Why? As always, government regulation and interference. Just like you can always expect people to be greedy, you can always expect government regulation to make things worse off for everybody and not have the intended result.

      Of course, this is all basic stuff. Did you even read the article?

    7. Re:human nature by torstenvl · · Score: 2, Interesting

      Let me know when the average Comcast customer has a vote on the board, because until he can elect a new CEO, your comparison falls flat.

    8. Re:human nature by bmajik · · Score: 4, Insightful

      It's a good thing that the human propensity to seek power and do evil only exists when that human works at a company, and never when that human works in government.

      We're really lucky this is the case, since if someone in government were ever corrupt, they could fine you speciously, jail you without trial or due process, seize your home via eminent domain, or just plain kill.

      --
      My opinions are my own, and do not necessarily represent those of my employer.
    9. Re:human nature by hansamurai · · Score: 2, Insightful

      And the worst thing is that many of those so-called libertarians favor the government in the current individual freedom issues we're having (eg: the Patriot Act) and when it comes to 'impose freedom' to other nations.

      What? Way to build up some straw man libertarians that are completely against everything a small-L libertarian stands for. Those people are simply not libertarians.

    10. Re:human nature by janeuner · · Score: 2, Informative

      I would imply that they [ethics regulations + oversight] are largely ineffective.

    11. Re:human nature by gnick · · Score: 2, Insightful

      And the worst thing is that many of those so-called libertarians favor the government in the current individual freedom issues we're having (eg: the Patriot Act) and when it comes to 'impose freedom' to other nations.

      Umm, what?

      From the Internet Encyclopedia of Philosophy and quoted on the Wikipedia Libertarian page:

      Libertarians are committed to the belief that individuals, and not states or groups of any other kind, are both ontologically and normatively primary; that individuals have rights against certain kinds of forcible interference on the part of others; that liberty, understood as non-interference, is the only thing that can be legitimately demanded of others as a matter of legal or political right; that robust property rights and the economic liberty that follows from their consistent recognition are of central importance in respecting individual liberty; that social order is not at odds with but develops out of individual liberty; that the only proper use of coercion is defensive or to rectify an error; that governments are bound by essentially the same moral principles as individuals; and that most existing and historical governments have acted improperly insofar as they have utilized coercion for plunder, aggression, redistribution, and other purposes beyond the protection of individual liberty.

      Methinks you're confusing Libertarians with some other group. Either that or deeply confused.

      --
      He's getting rather old, but he's a good mouse.
    12. Re:human nature by hansamurai · · Score: 1

      Reality has not shown this because government always intercedes and imposes regulation. Can you actually point out an example or are you just relaying made up facts?

    13. Re:human nature by hansamurai · · Score: 1

      Comcast is a great example of how regulation has failed. The government builds up and supports local cable monopolies eliminating competition. And look what happens: Comcast.

    14. Re:human nature by ClassMyAss · · Score: 5, Insightful

      I couldn't agree more. I'm tired of all economic libertarians saying the market will rule itself despite many examples showing just the oposite.

      The key to arguing for the pure libertarian point of view is that whenever you're presented with an example of the market failing, you figure out some minor way in which it is regulated, and blame that for the failure rather than the lack of stronger protections.

      For instance, if a monopoly becomes abusive, it's not happening because they are unregulated and haven't been restrained from anti-competitive practices, it's because the tax system has made it impossible for smaller companies to effectively compete with the monopoly. Or maybe it's that the minimum wage has increased the cost of the monopolist's labor to the point where they must charge abusive prices in order to stay in business.

      Or if a financial industry falls all over it's ass by making stupid bets left and right, it's not that the industry went wild taking on too many risks, it's that entitlement programs sent them the...uhh...implicit message that they should...lend money to people that will never pay it back..?...yeah, something like that! Maybe. Oh wait, I meant Sarbanes Oxley, err maybe the Fed's meddling...whatever, the specific reason doesn't matter, just say it forcefully enough and people will lap it up!

      It's a neat trick, actually - any time one element of your preferred extremist approach turns out to fail, you simply claim that it's because the whole thing must be implemented at once, and any deviation from that can bring the whole house of cards tumbling down.

      Unfortunately it's also exactly the same philosophical bullshit that Communists have been arguing since their first failed attempts at Utopia. I'm really getting tired of people failing to understand that balance is necessary in all things, including the level of regulation...I even tend to lean libertarian on a lot of these issues, as I don't think much government meddling is usually a good thing, but the tendency to pretend that there are no situations where it's appropriate seems just as deluded as the idea that the government should control everything. We should be pushing to roll back the right regulations, not abolish them wholesale without considering that some of them may actually be helping us.

    15. Re:human nature by Anonymous Coward · · Score: 0

      Wow you're an idiot.

      Circular argument much? Comcast IS AN INTERNET PROVIDER.

      Your argument that Comcast engages in bad behavior is NOT an effective argument for why that bad behavior should NOT be prohibited.

    16. Re:human nature by janeuner · · Score: 1

      Let me know when the average US citizen has a vote in Congress, because until he can vote directly, your comparison falls flat.

      Realize that even with Network Neutrality laws in place, there will still be government mandates regarding various types of service. When an open market is in place, and it is easy to enter that market, the consumer has a voice in who he chooses as a service provider. However, if a government-protected oligopoly controls access, or if the government itself controls access, then you will have no choice whatsoever.

    17. Re:human nature by Anonymous Coward · · Score: 0

      Uh. No, it doesn't. A comparison between the following
      a - electing someone who makes decisions
      b - electing someone who makes decisions
      is a pretty valid comparison.

      I don't know what dope you're smoking.

    18. Re:human nature by spun · · Score: 4, Insightful

      Government regulation of markets is essential. Even Adam Smith knew that markets need regulation to stay free. Without regulations, markets quickly devolve into oligopolies.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    19. Re:human nature by flink · · Score: 1

      Realize that even with Network Neutrality laws in place, there will still be government mandates regarding various types of service.

      I don't believe that's necessarily true. You can have a proscriptive instead of a prescriptive law. e.g. "All internet carriers are prohibited from routing traffic bound to a given destination preferentially to any other destination" or something of the sort.

    20. Re:human nature by Goaway · · Score: 5, Insightful

      Ah yes, the good old libertarian cop-out. If a free market fails, find some tiny little bit of government involvement, and blame that. If a free market succeeds, take credit and ignore any government involvement.

    21. Re:human nature by rhsanborn · · Score: 1

      I need a religious right comment to make sure, but it sounds like he is talking about replublicans.

    22. Re:human nature by TheLink · · Score: 5, Insightful

      "I challenge you to show me an unregulated market where the government doesn't have its hands in it in some way"

      I challenge you to show me a large bunch of people where you don't get a form of government within a few years - whether it's a dictatorship or otherwise.

      Similarly given a large market, you will get some form of regulation whether you like it or not.

      What people should worry about is not "lots" vs "little" regulation. What they should worry about is good vs bad regulation. With Laws (like code), quality not quantity matters more.

      If greedy corporations have the most say in the writing of regulation, the Public are unlikely to get good regulation, after all the creation of regulation that benefits the Public is not going to be one of their top priorities.

      If the Public prefer to vote for politicians/legislators who got the most money from greedy corporations, it should be no surprise what is likely to happen...

      --
    23. Re:human nature by janeuner · · Score: 1

      "All internet carriers are prohibited from routing traffic bound to a given destination preferentially to any other destination" or something of the sort.

      The Congressman who proposes this law must copy the entirety of RFC 1349 into the text of the bill and then strike it out with a red Sharpie.

      Optional: do the same to the Squid project source code.

    24. Re:human nature by Yfrwlf · · Score: 1

      I think the real reason as to why there is so much fail there and with most economic or socialistic ideas is because there is no purely right or wrong answer. There's bad, worse, good, decent, OK, and all sorts of shades of gray, but I don't think there's a 100% horrible or good system. I think you can have systems which are structured so that a very liberal system "works" to some degree, and systems which are structured so that a very socialistic system "works" to some degree, but ultimately both may come with certain benefits and problems, so like you said perhaps the best may be some kind of balance.

      I think the problem with extreme libertarianism is that it basically challenges all laws. Oh, you think universal health care isn't needed, well what about the fire and police? Oh, those aren't needed either, so is there any use for government whatsoever in a libertarian society? If everything will somehow run itself and nothing is needed, then what's the point of any kind of government, it should be all run by corporations. Yes, because I'm sure corporations will take really good care of everyone. I'm sure that there will be no pollution, thefts, fires, murders, rotten food being sold, and that everyone will be healthy and happy citizens.

      Like you said, I think it all boils down to the fact that greed exists because assholes exist. If your idea of a good country is one living inside a bunker you built with a munition stockpile trying to defend yourself because you didn't have enough money to pay off the "police force" (mafia) to protect you, I don't wanna know what you think a bad one would be like.

      There are definitely bad ways in which the government can clog the gears of real progress, and be used as tools to silence competition and screw over citizens in general, but I think there are some rules for being nice that are just common sense and needed.

      --
      Promote true freedom - support standards and interoperability.
    25. Re:human nature by Rycross · · Score: 1

      I need to bookmark your post because you summed up exactly how I feel whenever I talk to a libertarian.

    26. Re:human nature by iamhigh · · Score: 1

      See my sig. The best example of where you can buy just about anything, without any real regulation. My sig is a retort to the idiot that said something about the mafia is the best example of an unregulated market.

      --
      No comprende? Let me type that a little slower for you...
    27. Re:human nature by rev_sanchez · · Score: 4, Interesting

      There is a strange element of faith that has developed around the free market. It's not enough for the Chicago school people to study the markets, model them, and make predictions or develop policy around those ever improving models. It seems as if they believe that a free market is universally benevolent to the point where they are willing to disregard any evidence to that there could have outcomes many people might not find desirable. The a major problem with this view of economics is that even in its idealized form it really isn't that profitable and no one wants to run a business while fighting cut throat competition when they possibly avoid it. Markets are made of people.

      The credit problems and the various bubbles are rooted in a few generic problems: 1. People taking part in the markets are often poorly informed and irrational. 2. Over a short period some people can cheat a market for higher profits and often escape the consequences of doing so.

      Markets are based on a notion of value and that is a psychological thing. To ignore the human element in favor of a model based on some vast crowds of these mythical, rational buyers and sellers is a mistake.

      --
      If you didn't come to party don't bother knocking on my door. Prince '1999'
    28. Re:human nature by ClassMyAss · · Score: 1

      The credit problems and the various bubbles are rooted in a few generic problems: 1. People taking part in the markets are often poorly informed and irrational. 2. Over a short period some people can cheat a market for higher profits and often escape the consequences of doing so.

      I'd add to that list 3) banks taking on upwards of a 30:1 debt to equity ratios. If we all buy 30 times as much stuff as we can pay for, we should not be shocked when a little while later we look at the shit we just bought and realize that it's not worth nearly as much as the artificially increased demand at the time caused us to pay for it...

    29. Re:human nature by Rycross · · Score: 1

      When entering the market involves burying cables on public and private land, then you can hardly make an argument that its "easy to enter." Comcast and its ilk aren't being abusive because of government regulations, but because its so friggen hard to break into the market that competition is a moot point. You may have a point if municipal governments owned the lines and leased them, but then that would *gasp* socialism.

    30. Re:human nature by That's+Unpossible! · · Score: 1

      The key to arguing for the pure libertarian point of view is that whenever you're presented with an example of the market failing, you figure out some minor way in which it is regulated, and blame that for the failure rather than the lack of stronger protections.

      Apparently the key to arguing against libertarians is to attack libertarians using a straw-man, rather than trying to defend your own views on why it's a good idea for the federal government to interfere in free markets.

      Or if a financial industry falls all over it's ass by making stupid bets left and right, it's not that the industry went wild taking on too many risks, it's that entitlement programs sent them the...uhh...implicit message that they should...lend money to people that will never pay it back..?

      What implicit message? Fannie Mae and Freddie Mac were providing the money and incentives backing these risky loans, and were pushed in that direction by the government, so that everyone could buy a house, regardless of whether they could afford it. In addition, the federal government artificially lowered the lending rates between banks, further encouraging this behavior through cheap money.

      When you've got cheap money, the government buying risky loans, and now -- a total bailout of this philosophy, why WOULDN'T you operate your company this way?

      Imagine if instead of this, the government wasn't involved with the mortgage market in any way. If the cost of borrowing money was in line with the risk of lending it. If you knew that if your company failed, it failed, no bailout available.

      Do you really think we'd be in this mess?

      --
      Ironically, the word ironically is often used incorrectly.
    31. Re:human nature by Sloppy · · Score: 4, Interesting

      If a free market fails, find some tiny little bit of government involvement, and blame that.

      Tell me about it. How dumb to blame ISP availability on such tiny things, such as .. oh, I don't know .. cable monopoly status granted by franchise agreements with local governments, for periods lasting decades.

      --
      As copyright owner of this comment, I authorize everyone to defeat any technological measure which limits access to it.
    32. Re:human nature by CodeBuster · · Score: 1

      since if someone in government were ever corrupt, they could fine you speciously, jail you without trial or due process, seize your home via eminent domain, or just plain kill.

      All of which can and has occurred in countries which place some other principles above those of individual liberty. Once a society says, "the rights of the individual will be respected only so long as they do not conflict with the interests of the state," then the first steps have been taken towards the gulag, arbitrary seizure of property, and even just plain killing all in service of "the greater good". It has happened before and it could happen again as long as some people are willing to use coercive methods, which are utterly opposed to freedom, to achieve their goals.

    33. Re:human nature by fmrbastien · · Score: 1

      But USA is not the world. Another type of internet will appear soon of late, and "THE" government will will not be capable to decide anything about it...

      --
      lernu.net
    34. Re:human nature by pluther · · Score: 2, Insightful

      I challenge you to show me an unregulated market where the government doesn't have its hands in it in some way. Go ahead...I'm waiting.

      I've seen that a lot in this thread.

      What we commonly think of as "unregulated" has been shown to, in reality, still be regulated in some way.

      So, despite the fact that removing some of the regulation made things worse, the idea is that removing all of it would have avoided the problems?

      And the belief that a completely unregulated market will solve, or avoid, all sorts of problems is so deeply held completely in spite of the fact that, according to the proponents of this ideology, such a market has never been seen in all of human history?

      --
      If the masses can keep you down, you're not the Ubermensch.
    35. Re:human nature by Hellcom · · Score: 2, Insightful

      He's got a point there. However, to say the telecommunications market failed due to a single factor is just silly. It was the result of all kinds of stupid at the local, state, and federal level of government, and the nature of the market itself. A telecommunications market needs to be regulated to encourage competition, particular in light of its high entry barriers (you can't have every cable and dsl company dig of half of the country to lay their wires, and nor can they afford to do so). Additionally, you need and protect consumers by ensuring that those with a dominant market share don't abuse their position, as ISPs such as comcast have demonstrated. However, if anything government has for decades regulated the market in exact opposite way they should of been doing.

    36. Re:human nature by Afforess · · Score: 1

      But what is so bad about Greed? Companies don't need to police themselves. If a person dislikes the company, they don't have to use it. You are not forced to buy starbucks (or comcast.) You don't NEED coffee (or internet.) Greed allows for competition, and creativity. Greed is a good thing, not an immoral thing.

      --
      If our elected representatives no longer represent us, do we still live in a Democracy?
    37. Re:human nature by Andr+T. · · Score: 1
      I don't know much about the political groups in the US , but here in Brazil there is a small group (but very, very noisy one) that likes to call themselves libertarians but are, in fact, only economically libertarians. Now, by the feedback I've received, I understood the same thing doesn't exist in the US - or, at least, it's not called the same way.

      I'm sorry I caused all this mess because I couldn't (and here you can replace 'couldn't' with 'was lazy to') read something before posting anything. By no means I'm arguing that all libertarians are hypocrites - even here there is a respectful libertarian group.

      --

      Any life is made up of a single moment, the moment in which a man finds out, once and for all, who he is.

    38. Re:human nature by JesseMcDonald · · Score: 1

      From model of human action through which consistent libertarians evaluate such things, only voluntary interactions can result in an unqualified, objective improvement in individual and net social utility (by definition). The term "government" is just a label for all individuals and organizations whose actions involuntary affect others, of which nominal governments are the most obvious example. The free market / government split is really between voluntary and involuntary modes of interaction; the conclusion that government cannot be said to contribute to improvements in social utility is a natural result of the underlying model, and not any form of "cop-out".

      Naturally, it all depends on what is defined as "success" and "failure". Libertarians would define success as the result reached via purely voluntary interaction, meaning there is no such thing as the failure of a free market. Obviously you are using some other criteria.

      --
      "The state is that great fiction by which everyone tries to live at the expense of everyone else." - Bastiat
    39. Re:human nature by JAlexoi · · Score: 1

      human works in government.

      But in that case the person is subject to public scrutiny and applicable laws...

    40. Re:human nature by Alpha830RulZ · · Score: 1

      I challenge you to show me an unregulated market where the government doesn't have its hands in it in some way

      Golf courses. Sporting goods. Fishing tackle. Women's clothing.

      --
      I was taught to respect my elders. The trouble is, it's getting harder and harder to find some.
    41. Re:human nature by NoOneInParticular · · Score: 2, Insightful

      Somalia is doing quite well in the pirate business these days. No government to speak off, pure unfettered capitalism there. I'm sure you're dying to move.

    42. Re:human nature by Anonymous Coward · · Score: 0

      Of course, no free market actually exists in the world today, especially under the most expensive, most powerful government in the history of centralized power. No matter where you go in the world, the winners are those who know how to work the system, because the system is inescapable.

      Even if the libertarians are right, there's no way they'll ever be able to prove it.

    43. Re:human nature by Andr+T. · · Score: 1

      And the belief that a completely unregulated market will solve, or avoid, all sorts of problems is so deeply held completely in spite of the fact that, according to the proponents of this ideology, such a market has never been seen in all of human history?

      You're right. This sounds to me like communists who call themselves 'marxists'. 'The earth has not seen a true marxist regime'. They say exactly the same thing: things were bad because people didn't go far enough into the idea. Blergh.

      --

      Any life is made up of a single moment, the moment in which a man finds out, once and for all, who he is.

    44. Re:human nature by zotz · · Score: 1

      "Ah yes, the good old libertarian cop-out."

      Some may play it that way, but since I am tend to be a people first kind of person, I tend to approach it from another angle.

      Since it is not a Free Market, then see to it that it works in an equitable way for people. Ask the companies that complain if they are willing to give up all of their monopoly advantages and see that the market does. And while they are giving up any monopoly plays, give up and other government granted / created advantages.

      I think we tend to mix the ideas of regulation and enforcement in a sloppy fashion to our detriment. Often I think we have more then enough regulation but nowhere near enough oversight or enforcement. Then when things go haywire, we call for more regulation instead of proper enforcement.

      all the best,

      drew

      --
      FreeMusicPush If you want to see more Free Music made, listen to Free
    45. Re:human nature by ClassMyAss · · Score: 2, Insightful

      Apparently the key to arguing against libertarians is to attack libertarians using a straw-man, rather than trying to defend your own views on why it's a good idea for the federal government to interfere in free markets.

      No, that's not how to argue against libertarians, it is how to criticize their refutations of your arguments against them. The "straw-man" comment is not accurate, as it is a common libertarian claim that any perceived problem with the free market is actually a problem with the regulations already in place, and that the free market would function fine if only it were less regulated. Which, as if on cue, is exactly what you are arguing when you say...

      Imagine if instead of this, the government wasn't involved with the mortgage market in any way. If the cost of borrowing money was in line with the risk of lending it. If you knew that if your company failed, it failed, no bailout available.

      Do you really think we'd be in this mess?

      And yes, I absolutely do. Why? Because it was profitable for quite a long time to make those loans, and whenever something is profitable over a long enough period people will leverage the hell out of it; conveniently enough, the government lifted the cash requirements on the biggest banks a few years back, which is what let them push all the way up to 30-1.

      Now, you may continue to argue that the reason it was initially profitable was due to the cheap money, and that's due to the Fed's existence, and so on. And you may even be right - regulation is a tricky beast, and it's very hard to say which regulations can stand on their own and which ones must either stay or go in groups.

      But again, the problem with that argument is that the ultimate conclusion tends to be that in order to avoid any mess, we would need to have practically no government whatsoever, which is as unrealistic and unproductive as suggesting that for communism to work we'd need a totally benevolent ruling government in power with control over everything. Neither one is going to happen, and either one might work (who knows? Nobody's ever actually seen either in practice...). In the libertarian "utopia" in order to avoid bubbles and crashes like this one we'd still need to rely on the free market to somehow keep firms from leveraging up the way they like to, and I've still yet to hear a plausible mechanism that would keep them from doing that (clearly their fear of potential failure is not enough to do it - to a certain extent they were doing the right thing, particularly from the individual traders points of view, since they walked away with several years of enormous bonuses before they lost their jobs, and it was probably a net win for many, if not most of the traders).

      Or on the other hand we could just suggest that the government limit the leverage ratios like they used to, and require that anyone dealing in CDOs have enough cash on hand to deal with the obligations. Yes, it might be paternalistic, but as we've seen, these things spread far beyond the companies themselves since our whole country runs on credit, so if the banks can't be trusted to accurately assess their own risks, we are within our rights to set some limits for them. To me that seems like a much more practical and straightforward solution than ripping the system that we have to shreds, which won't happen anyways.

    46. Re:human nature by bmajik · · Score: 1

      But in that case the person is subject to public scrutiny and applicable laws...

      I see. Presumably you point this out because you beleive that corporations act entirely outside the law and beyond the gaze of public scrutiny?

      The main topic here is about the role of regulation in internet service. Suppose that you were getting internet service from the most awful, immoral, reprehensible company possible. You could always cancel your service and stop financially supporting this company.

      Try cancelling your government sometime. Typically, you get "cancelled" instead.

      --
      My opinions are my own, and do not necessarily represent those of my employer.
    47. Re:human nature by Jodka · · Score: 1

      Not to be confused with the old liberal scam: When people exercise their freedom to take financial risks which do not succeed, cite that failure as reason to revoke more personal freedoms. When people exercise their freedom to take financial risks which do work to their own advantage, then denigrate them as the greedy rich and revoke more personal freedoms.

      The liberal gameplan for self-enrichment is to take control of the government and to use excuses such as your own to increase their own wealth and coercive power, that of government. It is a brazen grab for self-enrichment embodying unsurpassable greed.

      --
      Ceci n'est pas une signature.
    48. Re:human nature by Jodka · · Score: 1

      Wow, you completely beat the shit out of that straw man.

      Nobody is arguing that companies will "police themselves" as you so disingenuously put it. The argument is instead that competing consumer interests and broader corporate interests will serve as an effective check on the narrow corporate interest of reduced neutrality.

      --
      Ceci n'est pas une signature.
    49. Re:human nature by genooma · · Score: 1

      And this is exactly why we are supposed to "police" the government and even change its members every 4 years. Of course we are a bunch of retards who keep voting the same people in, but we could control and improve our government if we weren't so damn lazy.

    50. Re:human nature by genooma · · Score: 1

      And the alternative is appealing to the ethics of the corporations alone.

    51. Re:human nature by Valdrax · · Score: 1

      It's a good thing that the human propensity to seek power and do evil only exists when that human works at a company, and never when that human works in government.

      Every few years I get a chance to fire people in the government. I don't get that opportunity with my local telco monopoly.

      Furthermore, there's a large philosophical difference between the level of disclosure and accountability for democratic governments than their is for deregulated corporations. You can structure corporations to have an equal level of disclosure, but historically that has always required government intervention to accomplish.

      --
      If it's for-profit but free, you're not the customer -- you're the product (e.g., the Slashdot Beta's "audience").
    52. Re:human nature by rtechie · · Score: 2, Insightful

      I challenge you to show me an unregulated market where the government doesn't have its hands in it in some way.

      It doesn't exist. What libertarians don't grasp is that it CANNOT exist. Libertarianism is utopianism similar to anarchism (in practice, it's nearly identical) and equally foolish.

      I used to be a libertarian. I grew out of it.

    53. Re:human nature by stevejsmith · · Score: 1

      There is the Libertarian Party in the US, but it's very small and most "libertarians" are not "Libertarians" - i.e., most people with libertarian views do not belong to the Libertarian Party.

      There are the Republicans, which theoretically are the party of economic libertarianism, and they probably are marginally (though only very marginally) pro-market than the Democrats in terms of economics, but they're very unlibertarian when it comes to social policy (drugs, sex, and violent content) and foreign policy (duh - invading other countries is not libertarian).

    54. Re:human nature by stevejsmith · · Score: 1

      Even Adam Smith knew...

      And thank god physicists didn't believe everything Adam Smith said. The truth is that liberal economics did not begin with Adam Smith, nor did they end with him. Newer schools of thought like the Austrian school have refined liberalism and indeed do argue that all government intervention is wrong, and that there is no such thing as a neutral action in that case - even the "rules of the game" themselves are important and not able to be divined by even the most skilled of government technocrats.

    55. Re:human nature by stevejsmith · · Score: 1

      Opponents of libertarian economics often say two things: a) that the market has shown us that it will failed when unregulated; and that b) there has never in history been something that is a perfectly free market. But how can you have it both ways? Either we've tried it and it's failed (in which case you have to be open to criticism that what we tried wasn't really a free market), or we've never tried it and thus can't know what it would be like (in which case you have to be open to criticism that certain markets have approached complete freedom if not attained it, and they have succeeded).

    56. Re:human nature by Belial6 · · Score: 1

      There is no way you could fire the all of the people in the government in a four year period. In a best case scenario, you could fire a very small percentage of the people in the government. In practice, that means that MOST of your interaction with the government would not change. There are so many laws that say "You cannot do X without permission from Y", and Y is not an elected position, that in practice a very large portion of our laws are actually written and enforced by non elected officials.

    57. Re:human nature by Red+Flayer · · Score: 1

      Tell me about it. How dumb to blame ISP availability on such tiny things, such as .. oh, I don't know .. cable monopoly status granted by franchise agreements with local governments, for periods lasting decades.

      And yet, without the monopoly provision, the high barrier to entry due to infrastructure buildout costs would have resulted in a worse situation: no option for cable service at all.

      Did the cable companies strong-arm local governments by telling towns that they wouldn't build out the infrastructure if they didn't get a monopoly? Sure. In some cases, they were probably full of shit, and it would have been profitable to build out even if the town didn't grant the monopoly (since no competitor would even *think* of building out competing infrastructure, since it couldn't be profitable).

      The problem is not the monopoly (which would have occurred naturally). The problem is that the towns have been derelict in their duty to properly oversee the monopolies they authorized.

      --
      "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
    58. Re:human nature by Anonymous Coward · · Score: 0

      Yeah. I'm usually the first to cheer on the libertarians (the ones that aren't rabid nut-jobs, anyway), but the argument made in of TFA isn't very solid. The particular point I found very weak: "Physical ownership of Internet infrastructure does not translate into a practical ability to control its use." Sorting the data isn't impossible when your machines can do it for you. And it only gets worse because large-scale communications systems, by their very nature, need to spread out as much possible to be useful. And it is REALLY hard to compete with a communications company that dominates the whole infrastructure of a particular industry.

      It's a lot like the road system - In the magical land of Libertopia, it would never be a problem. A lot of ISPs and private citizens would buy or build bits and pieces of Internet architecture, and link up to each other according to various agreed-upon contracts. Everyone either agrees to make through-traffic free, or some bright fella comes up with a way to charge gateway traffic electromatically to the originator. You have lower entry barriers and less risk of a monopoly, because the scope of the problems are smaller. If a guy blocks off a road or ties somebody's tubes, he'll just get routed around by a competitor or lose business to somebody else. Go ahead and privatize the whole damn thing and to hell with it - you can get away with it in Libertopia.

      But nobody has a map to Libertopia, and neither the streets nor the Intertubes of the modern world were built that way. Given the nature of a communications backbone, whether a highway, railroad, telegraph, or a high-speed line, it is a market survival strategy for whoever owns it to stretch as far as they possibly can and expand their network to reach new clientele. The entry barrier is huge, if you can't get linked to a large monopoly network. It's very hard for a start-up to compete with that, unless they begin life strictly local and build up agonizingly slowly.

      So you have all these big companies that, by and large, control the infrastructure in very wide areas. That gives them the power to manipulate traffic. This is not necessarily bad. there are even some good reasons to do it, like dealing with technical constraints, shutting out bandwidth hogs, or building a parental control system. It only becomes a problem if they start fiddling with the traffic in ways that the consumer objects to. Information wants to be free. Thus, clearly we need Net Neutrality laws, say some.

      Now, to some libertarians (including myself), the problem with this is that by saying the government has the power to block filtering of the Web, you establish a foothold for the government in governing the Web in other ways - potentially filtering out sources and data types itself. Major-league yuck - especially since we just saw one recent administration that didn't think much of the Bill of Rights. But by stopping private industry from regulating the Intertron, you open the doors to government to do *exactly the same thing*. Maybe not now, but a few decades down the line, when people have gotten used to it, and doubtless under the pretense of keeping people safe from online gambling, the Russians, viruses, terrorists, or kiddie porn. I don't want my grandkids telling people that I voted for that.

      Even in the short run, a badly-worded law is often counterproductive. And what other kind are we likely to get? Please bear in mind here that most of Congress (Obama may or may not be an exception, but he's not supposed to be in the legislation-drafting biz anymore) does not really understand the Web, and a lot of them freely admit it. Heck, Ted Stevens, the mastermind behind the "series of tubes" speech, was the go-to guy for Internet advice in the Senate. If the laws on a particular subject are flawed, or if they become too complex, they raise barriers to start-ups entering the business. Pieces of crappy legislation are not that hard for a big business with a legal department to work around, but a new company just starting out can ill

    59. Re:human nature by msromike · · Score: 0

      Can you give some instances where "libertarians" have supported the dilution of individual liberties? I do not think libertarian means what you think it means.

    60. Re:human nature by Anonymous Coward · · Score: 0

      Very much agreed. I think a lot of libertarians who argue this often confuse two very different types of regulations: Uncovering and punishing fraud and force are among the relatively few things most libertarians would agree government should be doing - right up until it starts picking away at fundamental rights, anyway. Passing sensible laws to do that is absolutely, 100%, the reason we have a government at all.

      The type of regulation that governments should NOT be getting into are the ones that manipulate the market to their purposes, or give them reasons to muck around in the private sector.

    61. Re:human nature by Mr.+Slippery · · Score: 1

      [an unregulated market where the government doesn't have its hands in it in some way]...

      Golf courses. Sporting goods. Fishing tackle. Women's clothing.

      What, the government's not involved in golf courses? Who drags me away if I want to set my tent up on the green at the 12th hole? All land claims rest on government issued deeds.

      What, the government's not involved in sporting goods? So I can put a swoosh logo on my new line of baseball bats and not be dragged into court, right? And that lawn darts ban was just a dream?

      What, the government's not involved in fishing tackle? So I can drop all the lead sinkers I want into ponds and rivers and poison wildlife?

      What, the government's not involved in women's clothing? So I have no worry of being sued for putting decorations on a purse similar to someone else's?

      --
      Tom Swiss | the infamous tms | my blog
      You cannot wash away blood with blood
    62. Re:human nature by MadUndergrad · · Score: 1

      REGULATION is NOT the same as "interference" or "meddling". Your brain is broken and you're thinking about this the wrong way. Come back and argue when you can understand this distinction.

    63. Re:human nature by Anonymous Coward · · Score: 0

      They already are by using the service. That is a "vote" for them. If they didn't want them, or there was someone better, they would change to the other service, and wouldn't pay Comcast.

      Now here's the point where you say, "But they don't have another choice", which is the point where I tell you that this is because the telecommunications/ISP/etc industries are heavily regulated, and Comcast has bought rights to that area. Which is a Government problem.

      At which point you rant on about "But the company could purchase the infrastructure or competition, and then they own that area anyway", at which point I need to teach you economies of scale and diseconomies of scale, balancing the short run with the long run, how companies like large entry barriers (such as infrastructure cost), how their competition likes it as much as they do, how capital is really fucking easy to get, how business works, and how economics describes all of this.

      So I'd just like you to know, for the 5 seconds it took you to read the summary and come to a conclusion about a topic which takes a lot of education and thought to understand, someone's smarter than you and has already thought about and rejected your idea.

    64. Re:human nature by onemorechip · · Score: 2, Insightful

      Let's have a libertarian utopia in some alternate universe, and put all the libertarians there. You and I will stay in this one so we can continue to eat in restaurants that have to meet health codes.

      --
      But, I wanted socialized health insurance!
    65. Re:human nature by Lost+Engineer · · Score: 1

      Where's your proof that the infrastructure doesn't get built without a guaranteed monopoly? For instance, I see that satellite TV still exists, despite the fact that most places have cable. I see fiber being rolled out (albeit slowly) by the phone companies even though exist copper more or less gets the job done.

      Local governments simply can't be trusted to manage telco monopolies. Think about the people that sit on your city council. Not only do they lack the technical knowledge to make effective decisions, but they effectively become owned by the monopoly after the deal is first done. The company can demand any price increase and the town has little choice but to agree to it or lose cable. And the people don't notice that much when the cable bill goes up, but they will sure as hell notice when the service goes out.

    66. Re:human nature by Anonymous Coward · · Score: 0

      You might want to learn how to use the reply button. I didn't propose any idea, I just pointed out a poor comparison.

    67. Re:human nature by Lost+Engineer · · Score: 1

      I thought we were talking about governance, not the merits of various economic models. You don't need to pick any particular economic school to come to the conclusion that government intervention is bad for the economy as a whole. They all tell the same story.

    68. Re:human nature by Lost+Engineer · · Score: 1

      Or we could spend half as much time investigating public officials as we do investigating drug dealers.

    69. Re:human nature by Lost+Engineer · · Score: 1

      Every few years I get a chance to fire people in the government.

      Yeah but we don't, which is why we're in this mess in the first place and politics is still a viable career choice.

    70. Re:human nature by dedalus2000 · · Score: 2, Interesting

      the cables would never have even been put in the ground without government intervention in the granting of utility easements. the cable companies would have to either buy strips of land or dots of land and air rights as would the electric providers, the phone companies, the gas companies, water and sewage providers. it would take only one holdout to prevent utility penetration into a neighborhood.

      --
      My keyboads not woking popely.
    71. Re:human nature by Lost+Engineer · · Score: 1

      This doesn't require a monopoly. They could either grant easements to different companies or allow them all to use the same pathways. It's not like space is limiting the deployment of fiber.

    72. Re:human nature by Alpha830RulZ · · Score: 1

      Yeah, whatever, nutcase. Anyone with a smattering of economics education would understand that these are markets with many participants, free exchange of information, and clear price signaling. The government interference you decry seems to be the basic function of rule of law, which even libertarians like. Taking your points one by one:

      1) if you pitch your tent, you are trespassing. Do you want to do away with private property?

      2) The swoosh is a copyrighted trademark, which has little to do with sporting goods. It's private property. See prior comment.

      3) If you doubt a free and unregulated market in fishing tackle, please visit www.cabelas.com, www.llbean.comand report back on the limited offerings, fixed prices, and government control of the offerings. I fish with 8 to 16 ounce lead sinkers here in Washington.

      4) Women's clothing? You can even make this argument with a straight face? You need to increase your meds dosage.

      Go away, troll.

      --
      I was taught to respect my elders. The trouble is, it's getting harder and harder to find some.
    73. Re:human nature by WolfWithoutAClause · · Score: 1

      Fortunately governments aren't oligopolies in the political sphere so they can be trusted to do the right thing. Oh! Wait!

      --

      -WolfWithoutAClause

      "Gravity is only a theory, not a fact!"
    74. Re:human nature by Anonymous Coward · · Score: 0

      The credit problems and the various bubbles are rooted in a few generic problems: 1. People taking part in the markets are often poorly informed and irrational. 2. Over a short period some people can cheat a market for higher profits and often escape the consequences of doing so.

      The number one problem: cheap loans by the government which devalue our currency. Oddly, you either are too stupid to know this or a liar. You see, if it was you or I lending Big Corp billions of dollars, we'd not allow such high debt ratios (recall a traditional mortgage is 20% down. A business plan based on Flip that House wouldn't cut it.

    75. Re:human nature by Anonymous Coward · · Score: 0

      Gordon Gekko, is that you?

    76. Re:human nature by kvezach · · Score: 1

      Try cancelling your government sometime. Typically, you get "cancelled" instead.

      It's called emigration. You can even truly cancel your government: get a ship and travel to international waters.

      That the government tries to "cancel" you when you cancel your government is no different from that corporate security would try to "cancel" you if you stayed on premises after being fired. (Well, actually they would get the police to haul you off to jail or fine; but in a cyberpunk world, there would be no police)

    77. Re:human nature by ichigo+2.0 · · Score: 1
      There is also a strange element of faith that has developed around the government.

      The credit problems and the various bubbles are rooted in a few generic problems: 1. People taking part in the markets are often poorly informed and irrational. 2. Over a short period some people can cheat a market for higher profits and often escape the consequences of doing so.

      The credit problem and the various bubbles are rooted in one thing: the federal reserve. As long as our money is based on the ridiculous joke of fractional reserve banking (i.e. banks are allowed to lend out more money than they have in cash deposits) the existence of the boom-bust cycle is guaranteed. Faith belongs in religion, not in our banking system!

    78. Re:human nature by theaveng · · Score: 1

      Yes true, but now that the easement rights have been granted, why only ONE cable company? There's enough room in the underground pipes to run four or five cables, each owned by Comcast, Cox, Time-Warner, Verizon, et cetera. Then it's not a monopoly but Pro-choice, where the consumer decides which company he/she wants.

      Consumers now have the choice of Dish, Directv, or Cable Monopoly, which is okay, but it would be so much better if they have 4 or 5 cable companies to choose from, not just one.

      --
      FOX NEWS.com should be BANNED from television and internet. Have the Congress take it over and give us Truespeak.
    79. Re:human nature by ultranova · · Score: 1

      The term "government" is just a label for all individuals and organizations whose actions involuntary affect others, of which nominal governments are the most obvious example.

      By this definition every individual and organization is "government", since all of them make decisions which affect me without my input. It's the good old butterfly effect.

      Naturally, it all depends on what is defined as "success" and "failure". Libertarians would define success as the result reached via purely voluntary interaction, meaning there is no such thing as the failure of a free market. Obviously you are using some other criteria.

      Redefining "success" allows one to claim any result as "success", simply by defining "success" to mean whatever the result was. It makes such claims utterly meaningless.

      Besides, what does "voluntary" mean anyway ? Am I acting voluntary if I'll get shot otherwise ? What if I starve to death otherwise ? The thing is, you can always act in whatever way you want, it will simply have consequences; and the question then is: At what point do the consequences of not doing what someone requests become mild enough that obeying the request can be considered voluntary ?

      The failure of libertarianism, as I see it, is that it considers "you'll get shot" as coercive, but not "you'll starve to death". This allows any entity which gains sufficient amount of resources to control others with threat of starvation without allowing it's de facto slaves to retaliate. It makes the rich free and everyone else free to lick their boots or die.

      This is the reason why libertarianism hasn't gained any widespread popularity: most people would be much worse off under it, both materially and in personal freedoms.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    80. Re:human nature by Shotgun · · Score: 1

      We should be pushing to roll back the right regulations, not abolish them wholesale without considering that some of them may actually be helping us.

      Good enough.

      Now, how do we know which ones are the right ones?

      My own disposition is that the government should act almost exclusively in an advisory role. Instead of the FDA saying that a drug can or cannot be sold, they would provide advisory information to people on what is actually effective. I like the way food labelling is handled. I can choose to eat my Li'l Debbie snack cakes, but because I can read what is in them I will know that they are little more than lard with a little oatmeal to hold them together. If I want to try a new experimental cancer cure, that's my business. Why should I have to wait until after I'm dead for the FAA to pass their blessing saying that it is 100% safe.

      Libertarian economies depend on the free exchange of information. Willful contracts can't be entered into when information is hidden from either party. The whole bank fiasco hinged on the fact that bad loans were bundled up so that no one knew what was in there, and then the package was given an AAA rating. If there is going to be more government regulation, that right there is where it should be aiming at.

      --
      Aah, change is good. -- Rafiki
      Yeah, but it ain't easy. -- Simba
    81. Re:human nature by Heddahenrik · · Score: 1

      "And yet, without the monopoly provision, the high barrier to entry due to infrastructure buildout costs would have resulted in a worse situation: no option for cable service at all."

      We have no cable monopoly here in Sweden, and in my apartment I can select from cable (8:1 Mbit), LAN (100-10 Mbit and 5 IPs) or large amount of ADSL Internet connections.

      So like all monopoly huggers, you're wrong.

    82. Re:human nature by Mr.+Slippery · · Score: 1

      Anyone with a smattering of economics education would understand that these are markets with many participants, free exchange of information, and clear price signaling.

      But the assertation was not that these are markets with many participants, free exchange of information, and clear price signaling. The claim was that government was not involved in them.

      1) if you pitch your tent, you are trespassing. Do you want to do away with private property?

      Property is defined by government force - if (and only if) you can get the state to protect your right to it, you own it. And this is an initial use of force; when I lay down on that golf course to take a nap, I'm not the one using force, the cops who drag me away are.

      If one calls for "getting the government out of the economy" or for "no initial use of force", one is calling for the abolition of private property. Do you want to do away with private property? Or, are you willing to have the government initiate the use of force in order to enforce property rights?

      Properly understood, property rights are not primary; they are a means of securing other rights. With no private property, no private choices are possible. On the other hand, when control of property is concentrated, then those without property cannot make private choices. Some degree of democratic control of certain types of property is needed to maximize the choices, the freedoms, of all.

      The swoosh is a copyrighted trademark

      You are speaking nonsense. A copyright and a trademark are completely different things. Both are artificial government creations, so the government is definitely involved there.

      If you doubt a free and unregulated market in fishing tackle, please visit www.cabelas.com, www.llbean.comand report back on the limited offerings, fixed prices, and government control of the offerings.

      I've already given you a citation of one state's regulation of fishing tackle.

      The CPSC has issued recalls on fishing poles and worm probes. There is definitely government involvement in the market for fishing gear.

      Your claim that the lack of limited offerings and fixed prices implies no regulation, rests on incorrect assumptions about the results of government intervention.

      I fish with 8 to 16 ounce lead sinkers here in Washington.

      Please stop polluting the environment we all share.

      Women's clothing? You can even make this argument with a straight face? You need to increase your meds dosage.

      Ad hominem attacks don't change the fact that the government interventions of copyright and trademark play a huge role in the fashion industry.

      --
      Tom Swiss | the infamous tms | my blog
      You cannot wash away blood with blood
    83. Re:human nature by visible.frylock · · Score: 1

      This isn't a libertarian viewpoint but

      For instance, if a monopoly becomes abusive, it's not happening because they are unregulated and haven't been restrained from anti-competitive practices, [...]

      You're missing something important. Why is our government granting monopolies to private businesses in the first place? It's unfortunate that a lot of people see what telcos, railcos, toll-road-cos, cablecos, etc are doing, and mistake it for a deficiency of the market. But it isn't a market, it never was in the first place. Because governmental bodies, whether, fed, state, or local, granted private businesses rights over the (private property of others | public property at large), whichever way you want to look at it.

      I'll be the first to admit that most libertarians are blind to this. That doesn't mean that arguing the opposite of their position regarding markets has any validity at all. This has nothing to do with markets, because there is no market in this situations. There are only rent-seekers propped up by governments.

      --
      Billy Brown rides on. Yolanda Green bypasses Gary White.
    84. Re:human nature by spun · · Score: 1

      Thankfully, the Austrian school has totally discredited themselves b screwing up the world economy with their self-serving 'theories,' and nobody listens to them anymore.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    85. Re:human nature by spun · · Score: 1

      Show me a real oligopoly that even pretends to be democratic, or allows any public oversight. When government sucks, it is because we let it suck. We have the tools to make it great.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    86. Re:human nature by bmajik · · Score: 1

      Who _gave_ your local telco a monopoly?

      My company has been on the receiving end of all kinds of arbitrary government action. We have had to produce thousands and thousands of pages of documentation at the request of various governments. There are all kinds of Americans asking for very specific documents that the government refuses to release and has refused to release for years and years.

      For example, you may be familiar with the notion of a "congressional earmark". Here's a nice article about how, even after the earmark attribution rules changed, it is still very difficult to figure out who wrote what earmark spending into a bill because the congresspeople are being intentionally coy about it.

      http://seattletimes.nwsource.com/html/localnews/2008257178_favorfactory12.html

      Here's the salient quote:

      When a reporter for the Congressional Quarterly pointed out how difficult it remains to pull all the information together, Rep. John Murtha, D-Pa., chairman of the committee that drafts the defense bill, had a quick answer: "Tough shit."

      Do you still feel that your government is accountable to you? That the "discourse" and transparency is there? These guys are stealing your money, and when we try and enact rules that force them to at least tell us what they're wasting it on, they circumvent the rules and do so arrogantly and belligerantly.

      --
      My opinions are my own, and do not necessarily represent those of my employer.
    87. Re:human nature by TheLink · · Score: 1

      Well maybe you both might be right if the mafia collect protection money from people selling stuff in flea markets ;).

      --
    88. Re:human nature by TheLink · · Score: 1

      Seems similar for Islam...

      The design flaw with Communism (or at least the popular implementation plan) is that the Communist Manifesto states that violence (force) is acceptable[1] for implementing Communism.

      When you say violence is OK, what tends to happen is the person capable and willing to exert the most violence rises to the top. That person then becomes Dictator.

      Thus violent revolutions are more likely to lead to Dictatorships. And since the popular Communist implementation plan involves violence, it should be no surprise that (all?) Communist Revolutions have led to Dictatorships.

      It is rare to find a Dictator who once having obtained great power will gladly relinquish it to the people.

      [1] See: http://www.gutenberg.org/files/61/61.txt
      Look for "sweeps away by force" "The Communists disdain to conceal their views and aims. They openly declare that their ends can be attained only by the forcible overthrow of all existing social conditions". The German version does not appear to be more "peaceable" ;).

      --
    89. Re:human nature by Anonymous Coward · · Score: 0

      ...in the name of greed. It's simple human nature.

      Human greed? Maybe ... though disorganized, powerless and therefore not very likely. Now, those artificial "people" created at the "pleasure" of the state, corporations, free speech and all; conglomerations of people protected from even simple liability -- their greed is organized, boundless, and shameless, and insured and protected by the state and their very status as state contrived creatures.

      I have some small power to deal with an individual's greed, even a proprietor's greed, and virtually none at all to deal with insatiable, well-lawyered, well-lobbied, state-protected, corporate greed. Except, maybe, for those rare and difficult class-action law suits by greedy law firms.

    90. Re:human nature by Joey+Borda · · Score: 1
      The above post was meant to be attributed to me, not Anonymous Coward.

      Gotta watch where I am clicking.

    91. Re:human nature by ClassMyAss · · Score: 1

      You're missing something important. Why is our government granting monopolies to private businesses in the first place? It's unfortunate that a lot of people see what telcos, railcos, toll-road-cos, cablecos, etc are doing, and mistake it for a deficiency of the market. But it isn't a market, it never was in the first place. Because governmental bodies, whether, fed, state, or local, granted private businesses rights over the (private property of others | public property at large), whichever way you want to look at it.

      Government has absolutely nothing to do with the emergence of these monopolies, other than the fact that it constantly tries to sue to break them up.

      I agree with you that there's no market in the Internet connectivity space, but it's not caused in the least by any regulation - I'm certainly free to attempt to compete with Comcast, it's just that the economics of the business they are in would make me a fool to try. I have no prior infrastructure and no money to build a new one, so I couldn't hope to compete. This is not the government's doing, it's just a textbook example of classical barrier to entry.

      With the telcos, yes, the government has been meddling for a while now, but not in the way you suggest. If you'll recall, that meddling began at the turn of the 20th century primarily because the unregulated AT&T already had a monopoly over the long distance telephone lines and refused to allow competitors to connect. How you can claim that's a government imposed monopoly, I don't know, because the government was completely uninvolved until then, and the actions were taken in a mere attempt to break the monopoly that had naturally evolved.

      Most of the rest of the history of telecom involves the government suing the telcos for abusive anti-competitive practices, not imposing limits on competition; you're more correct if you're thinking of other public utilities like water and electricity, where there are explicit prohibitions on competition, and I'd agree with you that stuff like that is unacceptable, but there are no such regulatory barriers for the communications industry, all those barriers to competition are practical and naturally occurring. To me, the history of telecom suggests that particularly in the area of communications monopolies are destined to arise, and absolutely require intervention - every time they get broken, they split for a few years and then start to re-form, so there is a clear tendency towards conglomeration, not competition.

      Generally speaking I agree with you - I don't think that we need to regulate situations where free markets exist except in the most extreme situations. But I think if a market fails to emerge, we need to acknowledge that in some cases, at least, it's a natural consequence of the nature of that business, and we must either do something to ensure that a free market can emerge or regulate the monopolists that currently control the market. The strict libertarian POV tends to ignore the realities of situations like this and just pretend that if we removed all regulations a free market would miraculously materialize, and I think that is little more than wishful thinking - most of these monopolies were born when these markets were nascent and unregulated, so there is no evidence whatsoever that removing the regulations that have evolved as a consequence of monopolistic abuse would somehow make the markets any more competitive or free. It would be nice if that was the case, but reality seems to indicate otherwise, so...

    92. Re:human nature by Stradivarius · · Score: 1

      No arguments with what you have said, but here's another angle:

      The ideology around the free market is simply the flip side of a similarly bizarre ideology. Namely the strange element of faith that a bunch of politicians or bureaucrats in DC know the workings of the real world better than those actually involved in it day to day. Or that somehow the politicians can solve every problem.

      A professional politician usually does not know much about many of the things they need to decide upon. At least part of this is just the reality that there are too many topics handled by Congress for any one person to be an expert on many of them. And of course if you're spending your days legislating, you're not spending them involved in the activities you're regulating, thus the longer you've been in Congress the less likely you are to really be in touch with reality.

      There is also a certain amount of arrogance or narcissism required to run for office. So if you can't admit you don't know things, you're unlikely to seek out enough differing opinions to make a reasonable choice. It's that pesky human nature again.

      In the end, there will always need to be some rules of the road. But we need to be careful to make sure the scope of rulemaking is commensurate with the knowledge and competence of the rulemakers. Unfortunately, that is not often the case.

    93. Re:human nature by stevejsmith · · Score: 1

      Hahaha, that's the most ridiculous thing I've heard all day. Please, do let the audience know what countries have adopted Austrian school economics as policy - I'm dying to know!!

    94. Re:human nature by stevejsmith · · Score: 1

      ...er, by "thank god physicists didn't believe everything Adam Smith said," I mean Isaac Newton.

    95. Re:human nature by spun · · Score: 1

      Hahaha, you libertarians. Anytime your plans don't work, you claim they weren't followed correctly. Neo-cons, starting with Reagan, enacted many Austrian based policies. They have failed, and you can't credibly claim that is was because they weren't Austrian enough.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    96. Re:human nature by Zxern · · Score: 1

      Have you not read a paper in the last year? I think current economic crisis completely disproves this argument. In the quest for ever higher quarterly profits corporations undermined their long term stability and that of the economy as a whole. Narrow corporate interests over rode broader corporate interests to the detriment of competing consumer interests.

    97. Re:human nature by Jodka · · Score: 1

      You begin by misattributing bad economic outcomes to a deliberate investment strategy which seeks high short-term financial gains and accepts long-term financial failure. Alternatively, bad economic outcomes result from efforts to achieve economic stability and long-term success together with failures to correctly assess the financial risks of investments, specifically subprime mortgages.

      According to liberal belief systems, wall-street CEOs possess secret magic crystal balls with which they foresee the infinite future with perfect clarity. Looking like Michael Douglas and driven by insatiable greed, they use this power to wreak havoc and suffering upon the earth, driving their own companies into bankruptcy in order enrich themselves.

      Paranoid belief system are self-confirming, so it is unlikely that you could ever be persuaded of the actual facts: Financial failures almost always result from limited ability to accurately predict outcomes and assess risks in attempting to avoid failure, not from the choice to seek failure. In the fashion of a zealous creationist, liberals set forth a watchmaker argument; Bad outcomes imply the existence of beings who design bad outcomes. Liberals do not believe in God, but they do believe in the devil, and he works on Wall Street.

      Your inference amounts to this: There was widespread failure among financial experts to correctly estimate the financial risk of subprime mortgages, therefore the the interests of some internet service providers to limit net neutrality will overwhelm the broader interests in neutrality.

      --
      Ceci n'est pas une signature.
    98. Re:human nature by stevejsmith · · Score: 1

      Federal Reserve = Austrian-based policy????

      Stop...you're just embarrassing yourself.

    99. Re:human nature by spun · · Score: 1

      So, because we still have a Fed, nothing anyone did was based on the Austrian school. See, this is exactly what I'm talking about. If we got rid of the Fed, it would be something else. It's always something.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    100. Re:human nature by visible.frylock · · Score: 1

      I'd like to clarify, but feel free to disagree.

      The monopoly I'm talking about is the system where a telecom (for example) can run lines over a certain area, many of those lines crossing over/under private property, and yet not have to pay rent to those property owners.

      You sound more knowledgeable than me about the history, so I won't argue with you there.

      But realistically, if someone today gave ATT an ultimatum, saying that either they would be paid rent for the lines on their property, or else they would simply cut the lines, well it would be considered a criminal offense.

      Why? Because they're acting against the public interest? Well sure, I agree. But doesn't that then imply public ownership over those lines? How can it be argued that these lines are the private property of the telcos? Because, if so, then what is their private property doing on all these other peoples' private property?

      That's my point. I don't think things like telcos can come into being in the first place without the following conditions:
      1) they get to run lines wherever the city/state lets them
      2) they don't have to pay rent for right-of-way
      3) they retain effective ownership and control of the lines

      That's what I have a problem with, as it seems to me to just be a complete handout.

      So my solution is to not grant those rights-of-way in the first place, and instead manage it like other government-run infrastructures. City-run water is an example of this. That doesn't make it a perfect system, but it does remove much of the profit motive and ultimately puts the infrastructure under control of the people, not of some executive board.

      So I'm not talking so much about regulations, but more about privileges granted to these monopolies. Privileges that only a government can grant, and that government will not grant to us mere mortals.

      --
      Billy Brown rides on. Yolanda Green bypasses Gary White.
    101. Re:human nature by stevejsmith · · Score: 1

      I don't count myself among them, but most Austrian economists believe that free banking is the most crucial feature of a free market.

      But personally, I'm of the opinion that the most important sector of the economy is the land use/transportation sectors, which are heavily, heavily nationalized, and have incredibly detrimental impacts on the environment. Compare the relatively free market in transportation around the turn of the century (when the vast majority of urbanites and suburbanites used private mass transit to get around) to the highly unfree market we have today (where the vast majority of people in all places used nationalized roads and live in houses with zoning and land use restrictions that force them to live in suburbia or suburban style land use patterns). The difference is night and day...hardly just "always something."

      (And last I checked, there were no neo-cons arguing that we need to get rid of zoning and minimum parking restrictions in order to return to a free market in land use and transportation. So while they might have tried almost every free market tactic that your limited imagination can come up with, you ought to realize that you're only imagining the free market policies that you've seen and heard discussed in the mainstream - but if you open your mind a little, you'll see that there are countless sectors of the economy that are definitely more statist than they are libertarian.)

    102. Re:human nature by spun · · Score: 1

      Roads are a great example of a natural monopoly, and thus unsuitable candidates for the free market. Even at the turn of the century, the roads were mostly publicly owned. Mass transit is a great example of an externality, a public good. When someone rides mass transit, that is a benefit to everyone else in the region, as it relieves congestion on the roads and reduces pollution. But as everyone else is not required to subsidize your trips, they are getting that benefit for free in a free market situation. Benefit is not maximized.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    103. Re:human nature by stevejsmith · · Score: 1

      The question isn't whether or not roads are a natural monopoly - the question is whether or not roads would exist, period, in a free market transportation system. And given the historical evidence, the answer would seem to be no - when transportation and land use were left up to the free market, people voted with their wallets and chose mass transit rather than using private vehicles on private roads.

      As for mass transit have externalities that need to be subsidized, this was clearly not the case before the US government began favoring and subsidizing roads over mass transit. Before then, whether or not "benefit was maximized," the fact is that mass transit was much more prevalent than roads. So you're telling me that now the benefit of mass transit is maximized?? Sounds like it was a lot more widely provided by the free market than the supposedly-welfare maximizing government.

    104. Re:human nature by spun · · Score: 1

      Roads, or rail both are natural monopolies. You can't run two of them from the same place, to the same place. Roads were subsidized, and this let transit operators profit. Your analysis of mass transit versus auto usage is flawed, as it does not take into account the many other factors at play. Do you know who bought up and crushed many of those lovely free market mass transit systems? Oil and car companies. The free market allows manipulation of entire markets. Government control doesn't.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    105. Re:human nature by stevejsmith · · Score: 1

      Oil and car companies bought up the transit companies looooong after the government started favoring cars over other modes of transit. There's just no getting around the fact that cars work best (and are most profitable) when density is low, and mass transit the opposite, and the US government at all levels worked very hard at making density low, all the while subsidizing roads in a way that mass transit wasn't being subsidized at the time.

      As for "natural monopolies," this is a concept that's used a lot in introductory microeconomics textbooks, but in reality, it's a lot more complicated and controversial than you're making it seem. And anyway, what of it? What does it matter if it's a "natural monopoly"? Is real estate then, too, a "natural monopoly," since you can't have two buildings in the same place? It's an overly broad and meaningless term.

    106. Re:human nature by spun · · Score: 1

      Density is key to efficient mass transit. In order to encourage riders, transit needs many routes going where they want to go, and that can't be efficient if there are only a few people on each route. I'm interested to find out your sources for the claim that government encouraged low density planning.

      As for natural monopolies, of course it's more complicated than I've made it. I understand that in the long term, anti monopolistic forces in the market will put a cap on what even a monopoly can charge. But that doesn't negate the concept, which is itself more complicated than simply 'one company in the market.' The definition has more to do with the marginal cost of entry into a market.

      I also understand that freedom is more important to you than market efficiency. It is to me too. We just have different ideas about what hinders freedom more. You worry that government will reduce freedom, I worry that businesses will use economic force to reduce freedom. As Adam Smith said, "Civil government, so far as it is instituted for the security of property, is in reality instituted for the defense of the rich against the poor, or of those who have some property against those who have none at all." And in a libertarian system, that is all government is for: to protect the property of the rich from the poor. Again, I ask: what does your system offer non-property owners? Why should they agree to it? Because of course we both agree, a system imposed by force is no valid system at all.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
    107. Re:human nature by stevejsmith · · Score: 1

      I'm interested to find out your sources for the claim that government encouraged low density planning.

      Seriously?? It's not blindingly obvious??? I mean, this is really a topic that could be stretched on for volumes, but here are some places to get yourself started: Euclid and zoning, roads and the Great Depression, and then the ultimate comparison: what the free market built vs. what the government built. And let's not forget that VA home loans (the primary vehicle of homeownership in the immediate post-war years) were restricted primarily to single-family developments at a time when the housing stock was not nearly as suburban as it is today. There is actually a blog devoted to exactly the idea that free market development is significantly denser, more urbanistic, and more environmentally-friendly than what's come out of contemporary American land use policy, and pretty much every post is an example of what you're looking for -- marketurbanism.com. But don't take anyone's word for it: see for yourself. Go find old buildings (excluding rural/farm buildings), and you'll see that they are way denser than your typical 2008 suburban development. Now, of course this is attributable more to the automobile than anything else, but ask yourself: how did the automobile become so widespread? Clearly private entrepreneurs weren't making fortunes off of building roads -- this was the government's work.

      I also understand that freedom is more important to you than market efficiency.

      This is 100% false. I have absolutely no interest in abstract concepts like "freedom" -- for me it's all about which system humanity would be better under. If state planning worked, I'd be all for it -- I don't have a dog in this ideological fight. I'm purely a pragmatist.

      And in a libertarian system, that is all government is for: to protect the property of the rich from the poor.

      I'm an anarcho-capitalist. I do not believe in the government in any form. I don't mean to be rude, but you're assuming a lot about me that's just not true.

      Again, I ask: what does your system offer non-property owners?

      Property is but one productive input. Knowledge (i.e., "labor") is the most valuable, and it's difficult to monopolize that (unless you have the government behind you enforcing IP laws and censorship, that is!). But like I said, "my system" isn't what you think it is -- under anarcho-capitalism, if you yourself do not have the means to protect and defend your property, nobody will protect your "right" to it for you. It's a system that makes owning property a lot more onerous for non-occupants, which is something that I'd think you'd like.

    108. Re:human nature by spun · · Score: 1

      Oh my god! A REAL anarcho-capitalist! I have absolutely no problems with your brand of anarcho-capitalism, as you do not endorse government backed property rights. Which is rare among anarcho-capitalists. Forgive me for making assumptions. Nothing in your system precludes me from doing my anarcho-syndicalist thing. I don't want a huge anarcho-syndicalist nation, I want to do things on a local level.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  3. The CATO institute? by ValuJet · · Score: 3, Funny

    Since this is from the CATO institute, I will just go ahead and assume all their conclusions are bullshit.

    1. Re:The CATO institute? by Progoth · · Score: 4, Insightful

      Since this comment was made by ValuJet, I'm going to stick my fingers in my ears and shut my eyes and scream "nyah nyah nyah" and hope that I don't hear anything that disagrees with my existing biases.

    2. Re:The CATO institute? by Anonymous Coward · · Score: 0

      Does Valujet have a history of bullshit, like the Cato Institue?

    3. Re:The CATO institute? by Anonymous Coward · · Score: 0

      Since this comment was made by ValuJet, I'm going to stick my fingers in my ears and shut my eyes and scream "nyah nyah nyah" and hope that I don't hear anything that disagrees with my existing biases.

      And what are the chances we'll see Progoth do exactly this when a study sponsored by Microsoft or some other software vendor comes out saying something bad about F/OSS?

    4. Re:The CATO institute? by binarybits · · Score: 1

      Bullshit like this? Or this?

    5. Re:The CATO institute? by globaljustin · · Score: 1

      Since this comment was made by ValuJet, I'm going to

      false equivalence...one commenter does not equal a big DC think tank...the CATO Institute is an influential (in some circles) organization that often does disingenuous intellectual stunts for the GOP...to put it in /. terms: they're like evil Vulcans to the GOP's United Federation of Planets...making quasi-intellectual arguments that support blatantly pro-corporate/anti-freedom policies

      the paper bends over backwards to make such a specific, unnatural definition of 'net-neutrality' and then sets up straw man arguments against it

      ISP's want to charge people more for the same bandwidth, in artificial 'tiers' of service that go against the entire notion of the public/private partnership that is the internet...

      --
      Thank you Dave Raggett
    6. Re:The CATO institute? by bnenning · · Score: 1

      the CATO Institute is an influential (in some circles) organization that often does disingenuous intellectual stunts for the GOP

      Yes, like supporting the Iraq war, the Patriot Act, the war on drugs, and the DMCA. Oh wait.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
    7. Re:The CATO institute? by Anonymous Coward · · Score: 0

      Since this is from the CATO institute, I will just go ahead and assume all their conclusions are bullshit.

      You need to be killed.

  4. See by pitchpipe · · Score: 1

    this for an answer as to if in theory, it is going to happen.

    --
    Look where all this talking got us, baby.
  5. In Other News... by dcollins · · Score: 5, Informative

    Another paper by the libertarian-leaning CATO institute also said this: Banks, financial lenders, and mortgage providers "work better" if they are responsible and provide only secure financial investments, and are therefore not likely to enter a worldwide financial meltdown. For that reason, financial oversight legislation is neither necessary nor desirable. QED.

    --
    We know where leadership by an anti-intellectual "strongman" who scapegoats minorities and likes boisterous rallies goes
    1. Re:In Other News... by jgtg32a · · Score: 1

      Read that quote again, the statement makes sense to me.

      The assumption is that they will be responsible and only provide secure financial investment. ie low risk loans

      The problem is that most bank didn't and they provided too many bad loans.

    2. Re:In Other News... by Anonymous Coward · · Score: 0

      That statement makes sense to me. Check your if-clauses.

    3. Re:In Other News... by ClassMyAss · · Score: 3, Insightful

      The assumption is that they will be responsible and only provide secure financial investment. ie low risk loans

      The problem is that most bank didn't and they provided too many bad loans.

      ...hence the initial assumption that we should trust the banks to look after themselves failed, and the idea that they are better off with zero regulation is ridiculous.

    4. Re:In Other News... by Markimedes · · Score: 1

      I prefer my red herring with tartar sauce.

    5. Re:In Other News... by Anonymous Coward · · Score: 0

      Cite?

    6. Re:In Other News... by Progoth · · Score: 2, Informative

      Or, more likely.....

      These very same banks were required, by regulation, to provide bad loans.

      And also....

      These loans were mostly all bought by Freddie and Fannie, with the assumption that no matter how bad their decisions were, the government would spend any amount of taxpayer money to keep these quasi-private companies alive. Funny how that works. Perhaps the government shouldn't be in the mortgage business.

    7. Re:In Other News... by readin · · Score: 5, Insightful

      Another paper by the libertarian-leaning CATO institute also said this: Banks, financial lenders, and mortgage providers "work better" if they are responsible and provide only secure financial investments, and are therefore not likely to enter a worldwide financial meltdown. For that reason, financial oversight legislation is neither necessary nor desirable. QED.

      Our recent meltdown is due to regulations that encouraged bad loans. Our future meltdowns will be due to the assumptions by banks that they don't need to be responsible because the government will step in with billions of dollars to bail them out if anything goes wrong.

      It's silly to blame the current mess on lack of regulation when the banks, financial lenders, and mortgage provides were regulated.

      --
      I often don't like the choices people make, but I like the fact that people make choices. That's why I'm a conservative.
    8. Re:In Other News... by Anonymous Coward · · Score: 0, Insightful

      You do realize that there were still regulations on the banking industry?

      The only problem was that these regulations were FORCING banks to take risky loans.

      If banks were allowed to act in their own best interest, they would have. Sadly, the Democrats (and Barney Frank in particular) refused to allow the banks to act in their own self interest.

      And, thanks to the economy collapsing, the nation has decided to throw the power to the very people who caused the collapse in the first place. McCain worked hard to prevent it, and he got thrown by the wayside in favor of a very well-spoken but completely unknown and inexperienced candidate.

      Look at the market after it learned Obama had won: it completely tanked. There's a reason for that.

      You can't call this a failure of the free market, because we don't HAVE a completely free market. It's further proof that ANY regulation causes MASSIVE problems.

    9. Re:In Other News... by Progoth · · Score: 1

      I agree with most everything except the McCain comment. He's just as guilty as most of congress. He also believes taxpayers should buy troubled mortgages.

    10. Re:In Other News... by Obfuscant · · Score: 3, Interesting
      Or, more likely..... These very same banks were required, by regulation, to provide bad loans.

      It was called the Community Reinvestment Act, enacted under Carter. It was intended to stop the practice of redlining. You know, redlining, where banks would refuse to make loans into certain neighborhoods that had a high percentage of bad loans and ineligible borrowers.

      The CRA forced them to make bad loans so they could stay in business. Clinton increased the regulations so they had to make more. And Bush the Recent tried several times to re-regulate the system to reduce the requirement to make bad loans, every time opposed by Franks and Obama et.al. "We don't need regulation, there is no problem", sang the Dems.

    11. Re:In Other News... by hansamurai · · Score: 2, Interesting

      Banks were not under zero regulation, they were being highly regulated by the government and if you honestly believe that the free market caused this collapse, then you are sorely mistaken. Just because the federal government's solution to this debacle is more regulation and bailouts doesn't mean there were zero before.

    12. Re:In Other News... by MindlessAutomata · · Score: 1

      And yet, the bailout and so forth was actually foreseen by some, INCLUDING free marketeers such as (yes, him) Ron Paul...

      http://www.lewrockwell.com/paul/paul128.html

      Now, I have no idea whether his reasoning is sound, so give it your best shot. But that does seem, to me at least, pretty impressive...

    13. Re:In Other News... by Anonymous Coward · · Score: 1, Insightful

      Um I'm pretty sure Freddie and Fannie don't have much to do with credit default swaps or whatever all the other crazy, leveraged debt instruments that absolutely NO ONE can figure out now.

      And I'm pretty sure those are what got us into this mess.

      And by "pretty sure" I mean not sure at all, except for the fact that your theory where regulation FORCED banks to provide enough bad loans to COLLAPSE THE ECONOMY is ludicrous.

      BTW, don't banks and such have something called 'lobbyists?' Don't they donate something called 'money' to politicians? As a result, isn't the U.S. one of the most regulation-free developed economies in the world?

      Oh, those poor banks. All that money and all those politicians in their pocket, and they still had NO CHOICE but to follow EVIL REGULATIONS (cause companies NEVER break the law - *cough*Enron) and cause a RECESSION.

      Yeah, clearly regulation is to blame.

    14. Re:In Other News... by Anonymous Coward · · Score: 1, Interesting

      What law FORCED banks to take risky loans? Please be specific.

    15. Re:In Other News... by Anonymous Coward · · Score: 0

      You can't call this a failure of the free market, because we don't HAVE a completely free market. It's further proof that ANY regulation causes MASSIVE problems.

      This is the exact same argument that Communists make to explain why all the attempts at Communist government have caused the countries to go to hell. "Not pure enough."

      I called bullshit on them, and I'll call bullshit on you, too. The banks were not forced to take risky loans - this goes a lot deeper than Fannie and Freddie, all of the banks were happily scooping up all the loans they could take because they thought they could hedge the risk and still make a profit; on paper, the numbers looked right. The problem was that the way they hedged the risk was to buy "insurance" from people that couldn't afford to sell insurance, but were not prohibited from doing so thanks to the shady way that the "insurance" was carefully packaged so as to get around the regulations surrounding the insurance industry. And when the banks showed up to make claims on this "insurance," everyone got ass-fucked.

      To be clear, this had almost nothing to do with the loans, except that they were the underlying assets being derivatived-up and leveraged; it had everything to do with the amount of leverage applied through these derivatives. The change in default rate that caused this was negligible, and should have been barely even a minor shock to the system, but it was amplified, and that's the problem.

      Buffett knew five years ago to stay out of this shit-fest, because he knew that there was too much leverage behind these things, and that's always the first sign of trouble. If you really want to avoid situations like this, the solution is to limit the amount of leverage in our economy, not to deregulate the whole thing even further.

    16. Re:In Other News... by knails · · Score: 1

      Perhaps the government shouldn't be in business

      Fixed that for you.

      --
      "I disapprove of what you say, but I'll defend to the death your right to say it" -Voltaire
    17. Re:In Other News... by ClassMyAss · · Score: 4, Insightful

      If banks were allowed to act in their own best interest, they would have. Sadly, the Democrats (and Barney Frank in particular) refused to allow the banks to act in their own self interest.

      Please elaborate - what exactly were the banks coerced into doing that they didn't think was in their self interest? Because everyone that I know in the industry was thrilled to be offering easy loans to anyone and trading CDOs left and right, mainly because they saw massive returns on their investments while the housing market was booming, not because some Democrat held a gun to their head and told them they had to.

      I know a lot of people that were in the middle of this, and many that are now unemployed as a result, and I have yet to hear any of them seriously claim that this was caused by anything but a bunch of risky and difficult to price assets spiraling off each other and running things into the ground...

    18. Re:In Other News... by UdoKeir · · Score: 4, Informative

      These very same banks were required, by regulation, to provide bad loans.

      Except that they weren't. Stop repeating these republican blogosphere lies.

    19. Re:In Other News... by ClassMyAss · · Score: 1

      Our recent meltdown is due to regulations that encouraged bad loans. Our future meltdowns will be due to the assumptions by banks that they don't need to be responsible because the government will step in with billions of dollars to bail them out if anything goes wrong.

      I totally agree that a bailout sends a terrible message to banks, that you merely need to be "too big to fail" and then your bad bets will just be taken on by the taxpayer.

      But I keep hearing the line that the government encouraged bad loans and that's what caused this, and I have no freaking idea what you guys are talking about. Banks do not make loans that they don't expect to make money on. They took on bad loans because for a long time they were making loads of money off of them due to the relentlessly climbing housing prices, which meant that pretty much anyone that could sign the paper could afford to pay off the mortgage.

      And hey, thanks to the magic of CDSes, the banks don't even need to worry about what happens if people don't pay them off, because they can pay someone else to take on all the risk! Yay! It's like insurance, except that the people offering it don't actually have to have any money! Hmm, I wonder how that could go wrong?

      It's silly to blame the current mess on lack of regulation when the banks, financial lenders, and mortgage provides were regulated.

      Yeah, because it would be totally silly to oh, say, create regulation that would require insurance providers to have money on hand to pay out claims that arise. And it would be downright Communist to suggest that the lack of such requirements had anything to do with the mess we're in now - let's just forget all those little details and make ourselves a nice little strawman called "affirmative action lending" so that we can blame it all on the black people...

    20. Re:In Other News... by locallyunscene · · Score: 1

      I've seen this a few places, and it sounds great as a free market talking point, but doesn't actually hold water.

      Most subprime loans, 75%, were not made by institutions that were regulated by the CRA(the legislation you are talking about that "forces" banks to make loans for lower income borrowers if they pool their resources). http://www.woodstockinst.org/blog/blog/the-community-reinvestment-act-no-smoking-gun/

      Not to mention that the bad loans were only the catalyst and the real killer was bad risk assessment on the part of the larger banks who bought derivatives based on these risky loans and then insured them multiple times with institutions like AIG.

      In short, you still can't blame the borrowers over the banks as nice as it would be to blame the poor and "government regulation" for all your problems.

    21. Re:In Other News... by ClassMyAss · · Score: 1

      These very same banks were required, by regulation, to provide bad loans.

      Whether that's the case or not, the banks had a financial motive that made them take on a lot of them, and it's called "making oodles of money." Which, if you'll recall, is at the heart of capitalism.

      A hiccup in the default rate was a catalyst for this, to be sure, but it only changed by a few percent, not even close to enough to dent our economy. Except for the fact that that few percent was leveraged forty to one through the swaps that banks were passing back and forth like candy, and it turned out that nobody could actually pay them out, or even value them once the market dried up.

      Unregulated and super-leveraged derivatives are what caused this mess, not bad loans. House prices were merely the tulip-bulb-of-the-week that people thought would keep going up forever and were willing to take as much risk in as they were allowed. These things always tumble, and what's at fault is not the particular asset that tumbles in the end, or any regulations or lack thereof surrounding those assets, it's the process that allows the bubble to inflate so damn big in the first place, and that's called "leverage."

      Unfortunately, the only way to fight leverage is through regulation.

    22. Re:In Other News... by kalidasa · · Score: 2, Interesting

      Our recent meltdown was due to credit default swaps that were all dependent upon AIG in a system analogous to a star-topology network. You've been listening to too much Rush Limbaugh.

    23. Re:In Other News... by OwnedByTwoCats · · Score: 1

      Or, more likely.....

      These very same banks were required, by regulation, to provide bad loans.

      There you go again. More right-wing nonsense. 19 of the top 20 originators of sub-prime loans were not subject to the 1977 Community Reinvestment Act, so you repeat untruths, told to you by untrustworthy sources.

      And Fannie and Freddie came late to the mortgage slice-and-dice party. The very definition of "sub-prime" was loans that were not good enough to be backed by Fannie or Freddie. That changed in 2004.

    24. Re:In Other News... by OwnedByTwoCats · · Score: 1

      You made up the part about "certain neighborhoods ... had a high percentage of bad loans". Pure fiction. And you forgot to mention that borrowers were "ineligible" because of the color of their skin.

      The CRA did not force any bank to make a bad loan; the CRA simply forced banks to stop discriminating based on race. They were still completely free to use creditworthiness part of their decision to write a loan.

    25. Re:In Other News... by Anonymous Coward · · Score: 0

      Except they were. Look up the "Community Reinvestment Act."

      It essentially said that potential income and likelyhood to repay loans could no longer be considered when deciding who to mortgage to.

      Well, unless the applicant was a white male. Discriminating against white males is explicitly legal - and, in some cases, legally required.

    26. Re:In Other News... by Kintanon · · Score: 1

      They weren't?
      http://en.wikipedia.org/wiki/Community_Reinvestment_Act#Legislative_changes_1992

      The relevant sections are from the 1992 legislative changes.

      While this was not the sole cause of the financial collapse it was definitely a one of the largest. It led directly to the securitization of those mortgages and the improper rating of them. Which led to people willing to insure those securities which normally would not have. It also led to things like school districts and city municipalities investing their money into those securities because they were improperly rated because they were generated by companies that were ostensibly backed by the Feds.

      So yes, that particular piece of federal regulation contributed heavily to the financial issues we are currently facing.

      --
      Check out JoshJitsu.info for Brazilian Ji
    27. Re:In Other News... by Rycross · · Score: 5, Informative

      No it didn't. It said that the location or race of that the person could no longer be considered. That is, banks could no longer red-line (look it up). They could still deny people based on their credit and income. See the wikipedia article on the CRA. The criticisms mostly suggest that the CRA had nothing to do with the crisis. At best, they could point out innuendo (the CRA made banks *feel* like they had to do sub-prime lending) rather than a direct causal link.

    28. Re:In Other News... by Obfuscant · · Score: 1
      You made up the part about "certain neighborhoods ... had a high percentage of bad loans". Pure fiction. And you forgot to mention that borrowers were "ineligible" because of the color of their skin.

      No, I did not. Redlining was based on zip codes, not skin color. It had to do with the neighborhood and not the person.

      The CRA did not force any bank to make a bad loan; the CRA simply forced banks to stop discriminating based on race.

      Nonsense. They were forced to make loans to riskier borrowers so they could stay in business and expand. I guess you could say they weren't forced, they could just have stagnated and then failed.

      They were still completely free to use creditworthiness part of their decision to write a loan.

      More nonsense. "Completely free" means could do so without repercussions. The CRA made sure there would be.

    29. Re:In Other News... by onemorechip · · Score: 1

      Lenders aren't eager to make bad loans, normally. The only "encouragement" has been the ability to securitize those loans in a way that conceals the risk. Most of the buyers of those securities had no idea of their true value (or lack thereof). And thus the house of cards was built.

      --
      But, I wanted socialized health insurance!
    30. Re:In Other News... by CodeBuster · · Score: 1

      Wow, somebody sure has a chip on their shoulder. However, ask yourself this. If banks could make loans and sell them to someone else, be that Fanny and Freddy (i.e. the Federal Government because really they are one and the same and the market treats them as such), or investors who took leave of their good sense (there was no shortage of those either) for the present value of the loan then why wouldn't they do that? As long as they can find someone willing to buy the debt they don't really care how bad the borrower is and why should they? Once they sell it down the river they have most of the eventual profit from originating the loan and none of the risk of actually holding it to maturity. The government encouraged this behavior both by providing access to the federal reserve AND by threatening to withdraw or restrict that access, under the CRA and by virtue of their implied government power to punish the banks who didn't step into line, to any bank that didn't play by the rules of the politicians (i.e. either you loan money to my constituents or I will cut your bank out of the loop). The banks were forced to play the game as best as they could within the boundaries set by the government.

    31. Re:In Other News... by wolfemi1 · · Score: 1

      It's silly to blame the current mess on lack of regulation when the banks, financial lenders, and mortgage provides were regulated.

      Yes they were regulated, but that's not the point. The credit default swap market was entirely unregulated, and THAT is one of the prime factors leading up to the crash. There WERE NO REGULATIONS ENCOURAGING BAD LOANS.

    32. Re:In Other News... by Anonymous Coward · · Score: 4, Insightful

      Yes, it definitely was the CRA, passed back in 1977. It was a secret time bomb. It magically didn't cause problems for 25 years, but then *BOOM*, it wrecked the economy by forcing banks to give loans to poor people.. Er, even though most of the fishy loans went to middle class people.. in the last five years.

      Okay. You sure convinced me. Blame Carter!!!

    33. Re:In Other News... by Timothy+Brownawell · · Score: 1

      Wasn't there also an issue of running out of people to make bad loans to (ie, a pyramid collapse)?

    34. Re:In Other News... by quanticle · · Score: 2, Insightful

      The banks were not forced to provide such loans. The Community Reinvestment Act can only be blamed for a very tiny percentage of the subprime loan market. What really sparked the boom was the realization on the part of banks and other mortgage originators that very few buyers of mortgage securities actually scrutinized the mortgages that are in the tranches. As long as the default rate stayed underneath the modeled default rate, no one cared that the fundamentals were unsound.

      As for Fannie Mae and Freddie Mac, what happened was that they were trying to compete with other subprime lenders and therefore relaxed their own lending requirements. Fannie Mae and Freddie Mac did not pull private industry into this mess; rather, it was quite the opposite.

      --
      We all know what to do, but we don't know how to get re-elected once we have done it
    35. Re:In Other News... by leoxx · · Score: 1

      These very same banks were required, by regulation, to provide bad loans.

      [citation needed]

    36. Re:In Other News... by quanticle · · Score: 1

      This is true. The banking and financial industry is quite heavily regulated, when compared with the technology industry. However, that doesn't mean that the regulations in either case are adequate. After all, many of the derivatives implicated in the current financial crisis were specifically created to help banks avoid their minimum capital requirements in the pursuit of greater profit.

      --
      We all know what to do, but we don't know how to get re-elected once we have done it
    37. Re:In Other News... by ClassMyAss · · Score: 1

      Just because the federal government's solution to this debacle is more regulation and bailouts doesn't mean there were zero before.

      My point was that in the situation that mattered, namely the maintenance of proper cash reserves as a buffer against market movements that the banks were exposed to, the banks that failed were essentially unregulated, in that they were able to take on massively risky positions without the cash on hand to back them against reasonable market movements. It may be the case that some regulations helped push the banks to want to take these risks, but it's also the case that one additional one could have kept them from doing it, and probably with a lot less friction and uncertainty than it would have taken to remove all the other regulations which had varying and disputed causative roles in this.

    38. Re:In Other News... by Arterion · · Score: 1

      There is a great deal of racial homogeneity among zip codes. Correlation, I know, but one could reasonably make a racial argument.

      --
      "That which does not kill us makes us stranger." -Trevor Goodchild
    39. Re:In Other News... by MadMidnightBomber · · Score: 1

      Bollocks. Give people selling mortgages a percentage cut and see what happens. Oh dear, you didn't forget to factor in bad debts a couple of years down the line, when you were calculating their bonuses did you? Well, your SOL I guess.

      --
      "It doesn't cost enough, and it makes too much sense."
    40. Re:In Other News... by An+Onerous+Coward · · Score: 1

      So, if your theory is correct, and the primary issue was government pressure to make "bad loans" (as if the CRA required any such thing), why were half these toxic loans being generated by institutions that weren't even covered under the CRA? And why didn't the rate of subprime loans decrease as Bush defanged the CRA, by slashing funding for regulatory agencies, scaling back the number of institutions covered, and reducing oversight?

      Your line of argumentation (I wouldn't dignify it with the term 'reasoning') is nothing more than a transparent attempt to blame the current crisis on Democrats, the poor, and minorities.

      --

      You want the truthiness? You can't handle the truthiness!

    41. Re:In Other News... by Anonymous Coward · · Score: 0

      Deregulation is not the problem. Deregulation when the companies like it and regulation when the companies don't is the problem.

    42. Re:In Other News... by Red+Flayer · · Score: 1

      Just because the federal government's solution to this debacle is more regulation and bailouts doesn't mean there were zero before.

      Just because there was regulation doesn't mean it caused the meltdown.

      I'd point at the relaxed asset ratio requirements and the repeal of the Glass-Steagal act as two of the big contributors -- and both of those are examples of *lessened* regulation.

      --
      "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
    43. Re:In Other News... by Red+Flayer · · Score: 1

      As for the banks acting in their own self-interest... there's a huge distinction that needs to be made. Banks are not people. The people who made the decisions for the banks made decisions that were best for them, not necessarily best for their bank.

      So bank CxOs, VPs, loan officers, and boardmembers took actions that rewarded each other... in the end, the losing party was the bank, and it's creditors.

      This is tangential to your point, of course. Banks weren't coerced into making bad decisions, as you rightly point out. But, decision-makers at banks did make decisions that wer ebad for the bank, though they were good for the decision-makers.

      At any rate, once the bets started getting called, the banks realized how bad it could get -- and kept betting, because they knew that the failure was going to be borne by the taxpayer, the shareholder, and the low-level employee who got laid off without seeing the massive payouts certain employees did. What matters is that the execs and their buddies got theirs.

      --
      "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
    44. Re:In Other News... by rtechie · · Score: 1

      Our recent meltdown is due to regulations that encouraged bad loans.

      Not really. The primary cause of the current meltdown is the changes made to the Glass-Steagall Act in 1999 to allow the merging of commercial and investment banks. Until then Glass-Steagall specifically separated them so in case the investment banks became overextended the government would not have to bail them out because home loans and other vital banking services fell on FDIC-insured commercial banks who were BARRED from investment.

      The 1999 changes allowed banks to leverage investments against FDIC insured deposits. This allowed them to leverage MUCH more that they could previously, the 30 to 1 rates we see were only possible because of this change to Glass-Steagall. Otherwise it would have been literally impossible for the investment banks to become so heavily leveraged, be it with real estate securities or anything else.

      Without this change the financial crisis would not have happened.

    45. Re:In Other News... by Anonymous Coward · · Score: 0

      you don't find it interesting that the first two institutions to start having major problems were the same ones that were exempted from sticking to the federal reserve ratio?

      freddie mack and fanny mae were exempted from the 9:1 ratio (you can only loan out 9 times what you have in the vault) on the assumption that they wouldn't commit suicide in an orgy of risk and bad loans. then they went and commited suicide in an orgy of risk and bad loans.

      we need to get off of the world bank system and possibly give up usury. nobody should be able to get filthy rich because they were already rich.

      there are now, and have been for a while, regulations forcing lenders to lend to higher credit risks in poorer minority populations, but these same lenders have been functioning for a decade or so with these regulations and staying solvent. i really don't beleive they've been teetering ever closer to the brink of disaster for years and nobody noticed until just recently when it was too late to fix anything.

      don't forget that some of the folks who pushed for the bailout initially used to run these same organizations who are getting the money. and i admit it isn't true that nobody noticed a problem coming until recently. in fact mccain and w. bush had both been trying to get rid of the community reinvestment act for a while now. did they try hard enough? i don't know, but one thing seems very obviouis to me now:

      we got played. the american people got conned by the heads of at least some if not all of these financial institutions along with corrupt and naive (though to keep your position of power when in the back of your mind you secretly understand that you don't know wha'ts going on is a form of corruption) politicians. now were out what could become one trillion dollars with nothing to show for it except a narroly avoided global depression at best and at worst a slightly postponed global depression.

      if these companies knew that being forced to make these bad loans to poor people in the ghettos was so bad for them from the start, they had the time and the resources to absolutely garuntee that said legislation would be changed. instead they somehow saw an opportunity to potentially cash in big time and now were paying for it.

    46. Re:In Other News... by fabs64 · · Score: 1

      Solid system, some bad loans bring the whole thing crashing down.

      Do some reading jackass, bad loans don't make a bubble, false economies do. Such as the unregulated derivatives market which Warren Buffet called a "financial weapon of mass destruction"

    47. Re:In Other News... by Lost+Engineer · · Score: 1

      It's not wrong to point out that the government was forcing lenders to make bad loans. Of course most of us realize they were also making these loans to MAKE MONEY (go figure) which Fannie and Freddy were guaranteeing that they could do by buying them.

      So when the whole house of cards came down it should be hard for us to point the finger at one institution, but apparently it's fairly easy for some of us.

    48. Re:In Other News... by Lost+Engineer · · Score: 1

      The CRA prevented banks from doing a form of risk analysis they otherwise would have done. Therefore it played a part in the issuing of risky loans. What's so hard to understand about that?

    49. Re:In Other News... by Rycross · · Score: 1

      No the CRA forbid banks from withholding loans for reasons unrelated to the actual risk of the loans. It did not force banks to take risky loans, and banks could definately do credit checks, check income, and perform all the myriad of relevant checks. What the CRA said is that you can't turn down an application because someone comes from, say, a primarily latino neighborhood.

      If the person can't afford it then the CRA doesn't force the bank to lend. In fact, the CRA lowers a bank's rating if it engages in risky lending. It does not prevent risk analysis, and it does not require risky loans.

      To top it off, the vast majority of the bad loans originated from banks not covered by the CRA. Most of those banks had *gasp* less federal oversight!

      That's why its hard to understand. Because the very basis for the argument is bullshit.

      Not that it matters. This has been hashed and rehashed again and again, and yet the libertarians will trot it out as if its some grand revelation.

    50. Re:In Other News... by mjwx · · Score: 1

      Our recent meltdown is due to regulations that encouraged bad loans. Our future meltdowns will be due to the assumptions by banks that they don't need to be responsible because the government will step in with billions of dollars to bail them out if anything goes wrong.

      It's silly to blame the current mess on lack of regulation when the banks, financial lenders, and mortgage provides were regulated.

      That's why the extremely regulated Australian and Canadian banking systems are in complete and utter chaos right now.

      No wait...

      They aren't, in fact the Australian banks have bounced back. This is solely due to the fact that all the bad investments in the US sub prime market were offset because the Australian government forced Australian banks to maintain a certain percentage of liquid assets (cash) to credit.

      You have one point though, this was not caused by too little regulation, it was caused by the wrong regulation. Bad regulation is worse than no regulation which is bad enough in itself.

      --
      Calling someone a "hater" only means you can not rationally rebut their argument.
    51. Re:In Other News... by Abcd1234 · · Score: 1

      Our recent meltdown is due to regulations that encouraged bad loans.

      And what regulation would that be, exactly? Oh, and if you say "CRA", you immediately fail on the grounds that you don't know wtf you're talking about.

    52. Re:In Other News... by Anonymous Coward · · Score: 0

      Sure they were. They were told within the last few years that they HAD to give out riskier loans to help get people into housing. (Which they couldn't afford, defaulted on the loans.. which didn't CAUSE the collapse, but was certainly not helpful towards it.)

    53. Re:In Other News... by Lost+Engineer · · Score: 1

      The zip code you buy in is a predictor of likelihood to default, and banks were prevented by law from considering that factor. Car insurers legally do the exact same thing.

      And I'm not going to argue that the CRA was primarily responsible for the housing bubble, but it is a dumb law that resulted in defaults that are hurting not only the banks but the borrowers as well. Next time we're trying to help out minorities (not that I'm acknowledging that racism is a legitimate aim of government) maybe we should think through our methods first.

    54. Re:In Other News... by Rycross · · Score: 1

      Car insurers get to do it because your zip code supplies relevant information: the patterns of traffic, amount of traffic, and status of the roads can change dramatically based on your zip code. Knowing what kind of traffic conditions you are going to be driving in is an important type of information that can only be determined by knowing where you're going to drive. They need your zip code to make an informed decision.

      A loan, on the other hand, requires collecting and verifying a great deal of financial information to determine whether they are at risk of defaulting. A person from a poor neighborhood is more likely to be poor, yes, but you can determine if that person is poor from the financial information that you obtain. Once you have a person's financial information, any information you can glean from their zip code has been rendered redundant. That is, unless you want to discriminate on race or ethnicity, which is what was happening and why the CRA was passed.

      I'll repeat that again: once you have a person's financial information, the zip code does not give you any more information about a persons' ability to pay a loan.

      Banks had access to the information that they needed to make safe loans, and they were able to make safe and profitable loans under the CRA for over 30 years. The CRA did not force banks to take risks, it did not put an undue burden on banks, and it has little to no relevance in the current financial crises, other than being a handy scapegoat to justify deregulation.

    55. Re:In Other News... by An+Onerous+Coward · · Score: 1

      My understanding was that Fannie and Freddie, even at the peak, were only purchasing a tiny fraction of the subprime loans. Also, as previously quasi-private entities, the "government guarantee" wasn't really a guarantee in the full sense of the word.

      While it may not be "wrong" to say that the government was forcing (some) institutions to make bad loans, it isn't exactly "right" either. The CRA didn't require bad loans per se, but it did forbid redlining and discrimination based on race, etc. Poor people aren't particularly risky lendees, if the amount being lent is reasonable for their income.

      The last thing to consider is that, since 2005, the CRA is the weakest it's ever been, due to changes by the Bush Administration and lax enforcement.

      To my mind, CDOs are the biggest immediate cause of the problems. They're the underregulated instruments that allowed a sufficiently large number of crappy loans to be repackaged as AAA structured investment vehicles. Between that and the similarly unregulated insurance industry that "guaranteed" the CDOs couldn't lose money, we had a situation ripe for self-delusion. Then people finally woke up and realized that more of the loans could go bad than they'd allowed themselves to believe, and the people who had been taking their money to insure their losses didn't have any assets to make good.

      Boom goes the dynamite.

      --

      You want the truthiness? You can't handle the truthiness!

  6. Just one thing... by Qzukk · · Score: 1

    The companies in charge of access to the internet DON'T want it to work better. They would rather induce scarcity in order to scare servers like Amazon, Google, iTunes and so on into paying for their "packet protection service". Pure profit, no investment needed.

    And no, as Bell Canada has just shown, thinking that competition is going to fix it is wishful thinking. Unless someone comes up with the trillions of dollars to rewire the entire internet at once and lock the behemoths out of the loop, you could make the most badass ISP ever and lose all your customers when the established players lock you out.

    --
    If I have been able to see further than others, it is because I bought a pair of binoculars.
    1. Re:Just one thing... by booch · · Score: 2, Interesting

      But the Internet is a two-way street, with clients and servers. If the client-side ISPs decide to start throttling, then the server-side providers can decide to start throttling those ISPs as well.

      Do you really think that people will stick with an ISP that has slowed-down access to Google? I think Google is in a good position to threaten ISPs into maintaining net neutrality. Imagine going to Google and seeing a note telling you that your ISP has caused your access to Google to be throttled, and suggesting that you call your ISP or move to another ISP.

      --
      Software sucks. Open Source sucks less.
    2. Re:Just one thing... by quanticle · · Score: 1

      Do you really think that people will stick with an ISP that has slowed-down access to Google?

      Do you really think that most people in the United States have much of a choice as to what ISP they have? In many (most?) places, it comes down to a choice between $PHONE_COMPANY DSL and $CABLE_COMPANY cable internet. In a significant number of places (like, for example, my house) even that choice isn't there. I'm (still!) too far away from the CO to get more than 768kbps DSL from the phone company, so my only choice is Comcast.

      --
      We all know what to do, but we don't know how to get re-elected once we have done it
  7. first post by Anonymous Coward · · Score: 0

    first post /. seems neutral about this and this is nice to me ;-)

  8. it's about the money stupid. by Anonymous Coward · · Score: 0

    It's for these same exact reasons that America has the best cell phone and cable services in the world.

  9. Oh, wait... by ObsessiveMathsFreak · · Score: 2, Insightful

    In it, Lee argues that because a neutral network works better than a non-neutral one, the Internet's open-ended architecture is not likely to vanish, despite the fears of net neutrality proponents,

    $traceroute slashdot.org
    traceroute to slashdot.org (216.34.181.45), 30 hops max, 40 byte packets
      1 10.100.56.1 (10.100.56.1) 17.348 ms 17.801 ms 18.228 ms
      2 10.220.17.1 (10.220.17.1) 3.171 ms 3.270 ms 5.564 ms
      3 * * *
      4 * * *
      5 * * *

    .....

    28 * * *
    29 * * *
    30 * * *

    --
    May the Maths Be with you!
    1. Re:Oh, wait... by kayditty · · Score: 0

      I guess you have slashdot in your hosts file?

  10. The gist by ClassMyAss · · Score: 3, Insightful

    For anyone that doesn't have the effort to slog through 36 pages of Internet history that more or less tells us what we already know (that up until now, the internet has been pretty open), the gist of the conclusion is "We shouldn't bother with network neutrality regulation or worry about those in charge abusing their local near-monopoly status, because hey, the market will work it out!"

    There's also a nice helping of "The government is the worst monopoly of all, and we should never allow them to pass laws to restrain the actions of near-monopolies, because hey, the market will work it out!"

    In other words, we should trust that despite the massive amount of money and energy the companies controlling our "tubes" are putting into fighting network neutrality legislation, they won't ever abuse the privilege to screw us if we just leave things the way they are. But if they are not allowed to screw us, that's when we have to worry about monopolistic behavior!

    Color me unimpressed by the overwhelming force of logic there...

    1. Re:The gist by plague3106 · · Score: 1, Insightful

      Ya, that's why I can't take libertarians. For individuals, their ideas work... but once you create a legal fiction that blocks most liability for individuals, things break down. Individials leading their private lives should be left alone; corporations need to be closely watched.

    2. Re:The gist by Ihmhi · · Score: 2, Interesting

      I agree with a good bit of libertarian philosophy - like the portions about the government shouldn't be able to tell you what you can and can't put in your body or what you can and can't do in the privacy of your home. I don't agree with a near-complete defanging of the government.

      The government is supposed to be (in my eyes) an organization to protect us from things that can screw the individual over (other large organizations, like corporations) as well as provide for the common defense and needs of the people. Nothing more and nothing less.

    3. Re:The gist by Sancho · · Score: 1

      This.

      The main issue, really, is an issue of power. The more power an entity has, the more important it is to ensure that that power isn't abused. Libertarians (with a capital L) would have us believe that "the market" will always work this out. Maybe it will, and maybe it won't, but monopolies have been broken up, and generally speaking, the consumer is believed to have been better for it.

      I think that one of the reasons that the market doesn't always sort itself out is that it can be incredibly difficult to break into a new market. If telephone lines didn't have to be shared by telcos, one can only imagine how much it would cost to break into the telephone market. You'd have to lay all new lines everywhere, and even then, the current big player wouldn't have any obligation to let your customers talk to their customers. You'd never gain enough critical mass to have leverage against the monopoly.

      So what it boils down to is that the more power an entity has, the more reasonable it is that the entity be regulated. ISPs currently have a lot of power (they're just not using it completely) and are frankly not regulated very much. Unregulated, I'm sure that it won't be long before the Internet is treated like Cable/Satellite TV. You only get access to certain websites that you pay for, in various tiers and packages (such that even if I don't care about espn.com, I get it alongside Google and Yahoo.) That's the model that cable companies understand, and it's the model that gets them the most revenue.

    4. Re:The gist by Rinisari · · Score: 1

      Coming soon, ISPs which sell their service as "unfiltered".

    5. Re:The gist by GodKingAmit · · Score: 1
      You sound a bit like a Libertarian-Socialist.

      Join the party!

    6. Re:The gist by JesseMcDonald · · Score: 2, Interesting

      If you truly believe that, then you should be a libertarian. Governments have far more power than anyone else. A company only power consists in choosing not to do business with you; governments, on the other hand, are comfortable with the use of force, possessing a facade of legitimacy no private aggressor can match.

      As for the telcos -- this was never a free market to begin with. The government used its taxes and legislation to create the monopoly in the first place, and to this day the major communications companies remain only semi-private, with special privileges and regulations at various levels, all of which contribute to maintaining high barriers against any potential competition.

      The situation with cable service, too, is primarily the product of local governments and their short-sighted regional exclusivity agreements.

      --
      "The state is that great fiction by which everyone tries to live at the expense of everyone else." - Bastiat
    7. Re:The gist by MindlessAutomata · · Score: 1

      Then do something about corporate personhood...?

    8. Re:The gist by Sancho · · Score: 1

      I have libertarian leanings, but the Libertarian party takes it all to an extreme. I'm not really die-hard--I do think that some infrastructural things are more likely to both improve the quality of life of Americans and which are long-term, difficult things to do. For example, if Libertarians had consistently been in control, I highly doubt that the national power grid would have gotten in place as early as it did. Balancing things like this would be very, very hard.

      As for the telcos -- this was never a free market to begin with. The government used its taxes and legislation to create the monopoly in the first place, and to this day the major communications companies remain only semi-private, with special privileges and regulations at various levels, all of which contribute to maintaining high barriers against any potential competition.

      Yeah, and a Libertarian should hate that :)

    9. Re:The gist by plague3106 · · Score: 1

      In some respects you're right. There is a reason though that things are setup like this; I don't really think we want 20 different companies stringing wires all of the place. Scroll down and look at the image of Mahatten Street in 1890. (http://www.copper.org/applications/telecomm/evolution.html) I doubt you really suggest we "deregulate" and allow this to happen, but with even MORE wires.

      The solution is to seperate the owning and operating of the wires from the services they provide. This is where you likely disagree, but I think data lines should be fully owned an operated by local government. Companies can then compete to offer services over those wires.

  11. I'm doubtful. by fuzzyfuzzyfungus · · Score: 2, Interesting

    The idea that neutral networks work better seems plausible enough; but that doesn't imply that neutral networks are what the market will achieve. If I can improve my position by building a walled garden and sucking everybody inside dry, that will impose considerable externalities, and probably represent a net loss in efficiency; but I'll do it anyway because I get the gains, and other people suffer the losses. Unless this paper has an atypically good reason for why externalities will be internalized in this market, I am wholly uncomforted by the fact that neutral networks are more efficient.

  12. human nature by janeuner · · Score: 2, Informative

    As long as politicians are involved with some having more sway than others, you can expect them to abuse their position in the name of greed. It's simple human nature. Say all you want about how government will police itself or that the market will sort itself out. However, reality has shown us time and time again that this isn't the case.

  13. Internet service in Ontario by Digital_Quartz · · Score: 3, Informative
    Here in Ontario, I can get high-speed internet from:
    • Rogers (cable), which blocks ports, throttles BitTorrent, VPN, and any encrypted traffic. Rogers also has some stupid "web search on typo" system which breaks DNS.
    • Bell (DSL), which throttles BitTorrent.
    • Many small third party DSL providers, which don't throttle, but Bell controls the last mile for all DSL, and throttles for them.

    So, it's a nice theory, but Ontario (and most of eastern Canada) disproves it nicely.

    1. Re:Internet service in Ontario by janeuner · · Score: 1

      So these are your two examples of why open market doesn't work? Rogers Communications, which is a local monopoly protected by the Canadian Government, and Bell Canada, which is a local monopoly protected by the Canadian Government.
      There are plenty of good examples that illustrate the damage of laissez-faire capitalism. Government-sponsored monopolies are enumerated in that list.

    2. Re:Internet service in Ontario by piranha(jpl) · · Score: 1

      You're telling me that, with a third-party DSL ISP, Bell will peek into the ATM cells passing between your equipment and the ISP's in order to detect which are associated with BitTorrent and throttle those cells accordingly?

      Forgive my skepticism.

    3. Re:Internet service in Ontario by slimjim8094 · · Score: 1

      AFAIK it's not like in the US, where Covad's ATM routers pick up my packets going over Verizon's lines.

      I think it's (in Canada) Bell's routers handling Company A's traffic, and doing their own friendly filtering on it before A's router gets it.

      --
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  14. The life of the law by girlintraining · · Score: 3, Insightful

    "The life of the law has not been logic; it has been experience. The law embodies the story of a nation's development...it cannot be dealt with as if it contained the axioms and corollaries of a book of mathematics." - Oliver Wendell Holmes, Jr.

    It is for this reason that the internet will continually be subject to attack. It is a public resource and history has taught us that public resources must be managed, regulated, rationed, and controlled. People here on slashdot and in the technical community believe that the internet is different, that it should not be subjected to the same restrictions that are placed on other public utilities like the roads, electricity, or other infrastructure. But our community is ignoring hundreds, arguably thousands, of years of human history which has inevitably converged towards the same result -- Public resources must be managed resources.

    This is an unpleasant truth, and an unpopular one. We're terrified, in many cases rightly so, of the government coming in. But witness what the lack of government regulation has done. When the internet was first opened to the public, there was no commercial interest, but as commercial interests moved in there was no central governing authority. And so a myriad of organizational nightmares have evolved in every aspect. The DNS system has factured, with lawsuits and international pressure abounding. Peering agreements between large ISPs have become power battles that have sometimes resulted in significant fractions of the network being inaccessible to the whole, or degrading performance. We have governments erecting giant firewalls, and the thousand cultures of the world now battle for control over what goes in to their part of the network. Everybody has their own ideas, and it is now little more than anarchy. And none of these battles is concerned about performance, democracy, or the other ideals that net neutrality activists advocate.

    We were so scared of the government that we let corporations come in and seize control of the infrastructure. Now the future of the internet is a question of economics, not idealism, and corporations are battling and lobbying to become the largest and most powerful. Consolidation is happening in the ISP market in every country in the world. And as that consolidation continues to occur, and fewer players are in the market, it will bias ever more heavily towards control and regulation... But it will be a control based on economics favorable to the corporate interests, not the users, not the private citizens.

    It's time to admit that we need government involvement. It's time to sit down at the negotiating table and decide what the fairest way to ration and regulate this resource is. That's the only consideration of the law, and it's best we do it soon before these corporations become so entrenched that only the most desperate of solutions will bring relief. And once we decide what we, as a country, want to do with this resource, then we need to set about making treaties with other countries to bring some level of regulation to a global level.

    This is going to happen. It has to happen. The only consideration now is how to guide this process toward a fair outcome.

    --
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    1. Re:The life of the law by knails · · Score: 1
      I have a few problems with your statements.

      1: The internet is different than roads, electricity, and other similar resources because it is, or at least , in principle, is supposed to be, an unlimited resource.

      Public resources must be managed resources.

      With this statement, and the preceding paragraph, you are essentially arguing Tragedy of the Commons. However, this does not apply to the internet because the internet is not limited. There is no reason why we cannot waste bandwidth in crazy high amounts; it's not like there'll be less for the next person who comes along.

      ...it will bias ever more heavily towards control and regulation... But it will be a control based on economics favorable to the corporate interests, not the users, not the private citizens

      2: That line doesn't make sense. Economics cannot be both unfavorable to the consumer, and be favorable to the company. If the consumer isn't happy, they will not buy. If the internet becomes too throttled and fractured to the point where it no longer serves the customer's needs, they will simply stop using it. People managed before the internet, and they can still manage without it.

      I'm all in favor of net neutrality, but unregulated neutrality is easily the best option. Forcing people to do something only makes them fight back more. Encouraging neutrality to the ISPs, while showing them how it will benefit them, is exceedingly more desirable.

      And 3: Laissez Faire economics work, we just have to give them a chance to try to work, and not always just assume that monopolies will form if we don't actively work against them.

      --
      "I disapprove of what you say, but I'll defend to the death your right to say it" -Voltaire
    2. Re:The life of the law by girlintraining · · Score: 1

      > The internet is different than roads, electricity, and other similar resources because it is, or at least , in principle, is supposed to be, an unlimited resource.

      The universe only has two things which are unlimited; Hydrogen and human stupidity.

      > Economics cannot be both unfavorable to the consumer, and be favorable to the company.

      You don't own a cell phone, do you?

      > Laissez Faire economics work, we just have to give them a chance to try to work[...]

      Citation needed.

      --
      #fuckbeta #iamslashdot #dicemustdie
    3. Re:The life of the law by knails · · Score: 1
      I'll only respond to one point, because really I don't care enough.

      You don't own a cell phone, do you?

      I do own a cell phone, and it is favorable to me. I'm on a low cost plan that gives me exceedingly more minutes than I need per month, and free calls to people with the same carrier. I think the most minutes I've used in a month in the 2 years I've had it is somewhere around 50, and most of those minutes were free.

      I have a cell phone that allows people to call me wherever I am, and also tells me the time (and before I had a cell phone, I would carry a watch for that). Why would I need anything else?

      --
      "I disapprove of what you say, but I'll defend to the death your right to say it" -Voltaire
    4. Re:The life of the law by girlintraining · · Score: 1

      Whatever plan you have you're still paying more for that service than in the more open markets of Europe or Japan, where they already have high speed internet on phones, the plans are cheaper, and there's far more competition. And all of this is because of government regulation...

      --
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    5. Re:The life of the law by knails · · Score: 1

      So we agree that government regulation is bad? I thought that's what we were arguing...

      --
      "I disapprove of what you say, but I'll defend to the death your right to say it" -Voltaire
    6. Re:The life of the law by Anonymous Coward · · Score: 0

      When he said "And all of this is because of government regulation...", he meant the regulation by Europe and Japan.

    7. Re:The life of the law by plasmacutter · · Score: 1

      aissez Faire economics work, we just have to give them a chance to try to work

      We gave it a chance to work, from the founding of our nation to the mid 19th century.

      -Half the products on the market were fraudulent, including medicines, many of which turned out to be deadly poisons, and the majority of which had no medicinal value what soever.

      -There was third-world class stratification. The ultra-rich and people living in tar-paper shacks. Any time labor got uppity, the dispute was resolved at the muzzle of a gun.

      -The "free market" condensed into 5 or 6 trusts which controlled everything bought, sold, produced, imported, exported, or shipped in the united states.

      There populace was pushed to the point of desperation, and civil unrest was frequent.

      Finally the government stepped in, creating institutions like the FDA, providing labor laws, etc.

      If you want an example of laissez faire capitalism at work, take a look at third world nations which are either very high on the worldwide corruption list, or in a state of political instability nearing anarchy. My, what a great life those people lead.

      It was so vindicating for me as a stiglitz economist to watch greenspan stand before congress and admit this, even if the events which precipitated it mean I have to seek a new career path.

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    8. Re:The life of the law by Stradivarius · · Score: 1

      It is a public resource and history has taught us that public resources must be managed, regulated, rationed, and controlled.

      History has not taught us that such things must be controlled. It has taught us that there are always people who want to seize control, and that inevitably those people seek out government as a way to do the controlling.

      But witness what the lack of government regulation has done

      It has created one of the most wondrous public infrastructures ever created, spanning the globe and fueling a productivity boom in numerous businesses. It's changed the way people do their shopping, the way US Presidents get nominated and elected, and the way we get our news. It's changed how we keep in touch with loved ones far away, and how many of us met their future wives and husbands. It's enabled widespread access to information inconceivable a few decades ago.

      If lack of regulation brings us more innovations like the Internet, sign me up for that. Some bickering over DNS is a small price to pay for such a wonder.

      We were so scared of the government that we let corporations come in and seize control of the infrastructure. Now the future of the internet is a question of economics, not idealism, and corporations are battling and lobbying to become the largest and most powerful

      History has taught us such battles are exactly what would have happened if we let government control things. Corporations would be lobbying government to gain control and special favors. The difference would be that the winners of those battles would be whoever had the better lobbyists, not who had the better products for consumers.

  15. Corporations cannot self-regulate. by Kaenneth · · Score: 5, Insightful

    Surveying the wreckage of the credit crisis, Alan Greenspan says he made one very big mistake.

    The free-market cheerleader and former maestro of the U.S. Federal Reserve Board conceded yesterday that he wrongly thought banks had an inherent interest in shielding their institutions and their shareholders from risk.

    That assumption turned out to have been dead wrong as financial institutions brought the banking system to the brink of failure in recent months after loading up on exotic mortgages and risky derivative products such as credit default swaps.

    "I made a mistake in presuming that the self-interests of organizations, specifically banks and others, were such that they were best capable of protecting their own shareholders and their equity in the firms," Mr. Greenspan bluntly told a U.S. congressional committee exploring the role of regulators in the financial crisis.

    "Something which looked to be a very solid edifice and, indeed, a critical pillar to market competition and free markets did break down.

    "And I think that ... shocked me. I still do not fully understand why it happened."

    The staunch belief that banks could manage their own tolerance for risk underpinned Mr. Greenspan's aversion to heavy-handed banking regulation during his record 18-year tenure at the helm of the Fed.

    Mr. Greenspan was an early devotee of author Ayn Rand, whose 1957 novel Atlas Shrugged inspired a generation of libertarian thinkers who believe in the right of individuals to live entirely for their own interest.

    1. Re:Corporations cannot self-regulate. by Cornwallis · · Score: 3, Insightful

      "Mr. Greenspan was an early devotee of author Ayn Rand, whose 1957 novel Atlas Shrugged inspired a generation of libertarian thinkers who believe in the right of individuals to live entirely for their own interest." But not at the expense of others.

    2. Re:Corporations cannot self-regulate. by maxume · · Score: 2, Interesting

      There is a caveat -- given the presence of an interventionist government, corporations have shown that they cannot self regulate.

      I don't think the world would be better without government regulation, but the current crisis is as much a result of poor government regulation as it is a result of poor self regulation, and it doesn't really say anything about an unregulated marketplace. Call not for more regulation, but for better regulation. Judge results, not page counts.

      (Two major things are that without the SEC, the stock market would not be as big as it is, and without Fannie and Freddie, the mortgage market would not be nearly as liquid as it is (was...).)

      --
      Nerd rage is the funniest rage.
    3. Re:Corporations cannot self-regulate. by hansamurai · · Score: 1

      Mr. Greenspan was an early devotee of author Ayn Rand, whose 1957 novel Atlas Shrugged inspired a generation of libertarian thinkers who believe in the right of individuals to live entirely for their own interest.

      And that is so wrong, why? Since you reference Atlas Shrugged, I would hope that you're actually familiar with it. Consider this quote from it:

      I swear by my life and my love of it that I will never live for the sake of another man, nor ask another man to live for mine.

      A man should live in his own interest, otherwise he's simply become an altruistic slave to the looters. All right, so that was a bit Rand heavy, but is there something inherently wrong with self interest? I don't achieve it by stepping on someone else or prohibiting their own self interest.

    4. Re:Corporations cannot self-regulate. by Luyseyal · · Score: 1

      A man should live in his own interest, otherwise he's simply become an altruistic slave to the looters. All right, so that was a bit Rand heavy, but is there something inherently wrong with self interest? I don't achieve it by stepping on someone else or prohibiting their own self interest.

      Reread the comment. The point of the comment is not criticism of self-interest but that banks were incapable of sustaining themselves, despite their logical self-interest to do so.

      Anywhere humans and money intersect, logic goes out the window. This is why the Austrian school is wrong and the econophysicists are right.

      $0.02USD,
      -l

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    5. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      Unless you are a native American, in which case the Queen of Libertarianism justified genocide and the theft of your land on the distinctly un-Libertarian grounds that European settlers could make better use of the land.

      "Any white person who brought the element of civilization had the right to take over this continent."

      Ayn Rand's "philosophy" is a justification for acting like a dick. Most of us outgrew it when we went to kindergarten and learned to share our toys.

    6. Re:Corporations cannot self-regulate. by garett_spencley · · Score: 1

      The idea of an unregulated market (which we have never seen in North America, BTW) is that corporations do not have to be trusted to regulate themselves because consumers will punish companies that sell poor products / services by voting with their wallets. How can you blame free market for the current mess when when the general public has always depended on the government to ban products that are "bad for them" and hold corporations accountable so that they don't have to do it themselves ?

      In other words, how can you blame an unregulated market for the recession when the market was regulated ?

      Being a business owner I sure as hell know that I wouldn't gamble with my assets if I didn't have some sort of insurance policy in place in case those risks end up screwing me over. Put yourself in the shoes of a financial institution and ask yourself why on earth you would lend money out when there's any chance in hell that you won't be able to get it back.

    7. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      A man should live in his own interest, otherwise he's simply become an altruistic slave to the looters. All right, so that was a bit Rand heavy, but is there something inherently wrong with self interest? I don't achieve it by stepping on someone else or prohibiting their own self interest.

      On the contrary, most people in this society do achieve it by stepping on someone else and especially by prohibiting others' self interest. This is the problem: that economic wealth becomes political power. Once those two are aligned and "rational self interest" kicks in, anyone who opposes the status quo gets it in the teeth. This is the crux of the current financial crisis.

      This is also the reason that socialism and libertarianism both fail: Socialists and Libertarians believe that people are basically "good" and would never abuse their positions. The fact of the matter is that people will get away with as much as they can and will always require a gun at the back of their head (and an implied threat to use it) to do the right thing.

    8. Re:Corporations cannot self-regulate. by canUbeleiveIT · · Score: 1

      Is it just me or has there been a strong resurgence of libertarianism, most notably of the Ayn Rand type? I understand that there is a reaction against the one-and-a-half party system in the US, but for the love of Christ, do that many people really think that a totally unfettered form of capitalism will really benefit the greatest number of people?

      I always figured that most people were in favor of a mixed economy involving some amount of freedoms and some amount of government controls, with the battle being fought along the lines of how much regulation and of what. Myself, I have generally been in favor of less.

      Looking at the nutrition information on a package of crackers the other day, I remembered back to a time when food labels didn't have to list the ingredients or nutritional info. If Atlas was trying to make healthy and informed decisions concerning his diet and tried to discern what was in the food he was about to eat, guess what he would do. He'd shrug... But seriously, the labeling of food, while somewhat gameable, is one of those things that benefits a large number of people without an onerous amount of government restriction of business. You know, where the positives outweigh the negatives. Call me crazy, but that seems like a good thing.

      As an aside, I am also kind of amazed that people find her books compelling, or even interesting. To be fair, I do acknowledge that her depiction of the protagonists' perseverance and accomplishment could be somewhat inspiring if it weren't completely overwhelmed by impossibly clumsy and self-serving dialog. The words that come out of her characters' mouths couldn't be more contrived and childish if they were in a Saturday morning cartoon. The dialog, obviously meant more for furthering Rand's crackpot philosophy than anything else, consists mainly of the hideous villains spouting some strawman for her virile heroes to demolish. Yawn.

    9. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      I have to slightly disagree with you. The reason that socialism and libertarianism both fail is that they are ideologies. Ideologies fail because they don't address real problems. Reality requires flexibility. To paraphrase Moltke, "No ideology survives first contact with reality," (at least if the solutions are going to actually work).

    10. Re:Corporations cannot self-regulate. by Radical+Moderate · · Score: 2, Insightful

      Organizations have no self-interest, but the people running them do, and those interests aren't always the same as the organizations' stock holders, employees, or customers. The fact that Greenspan couldn't figure this out even after the Enron debacle indicates that he was grossly blinded by ideology. Of course, the fact that our legal system supports the fiction that corporations are people helps perpetuate such nonsense.

      --
      Never let a lack of data get in the way of a good rant.
    11. Re:Corporations cannot self-regulate. by NoOneInParticular · · Score: 1

      Put yourself in the shoes of a financial institution and ask yourself why on earth you would lend money out when there's any chance in hell that you won't be able to get it back.

      To get your $100 million bonus? This one is too easy, you should try better.

    12. Re:Corporations cannot self-regulate. by cortesoft · · Score: 1

      You are acting as if these companies were a person acting in their own interest. In reality, the decisions are made by an individual or group of individuals who have interests that are separate from that of the company itself. The CEO of an investment bank wants to make immediate profits so that they can earn large bonuses; they have no reason to care about the long term soundness of the company.

      This isn't something that could be solved by hiring a different CEO; any CEO that is hired will be focused on the short term, because the short term is the only way that a company can measure performance to determine compensation. This is an inherent problem in any corporation; there are competing interests between what is good for the company and what is good for the person making decisions.

    13. Re:Corporations cannot self-regulate. by Eil · · Score: 1

      I read Atlas Shrugged when I was a teenager before I understood anything at all about politics, philosophy, or the economy and even then came to the conclusion that "objectivist" was just a euphemism for "asshole."

    14. Re:Corporations cannot self-regulate. by dkleinsc · · Score: 1

      Given the presence of a very non-interventionist government in 1792, 1797, 1819, 1825, 1837, 1847, 1857, 1866, 1873, 1884, 1890, 1893, 1896, 1907, and 1910-1911, corporations have shown they cannot self-regulate.

      --
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    15. Re:Corporations cannot self-regulate. by maxume · · Score: 1

      The intervention of 1792:

      http://www.americanheritage.com/articles/magazine/ah/1999/3/1999_3_20.shtml

      1797, Congress creates a bankruptcy law to get one of the victims out of debtors prison:

      http://www.nationmaster.com/encyclopedia/Panic-of-1797

      I'm stopping there, as it is apparent that we have different ideas about what intervention means.

      --
      Nerd rage is the funniest rage.
    16. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      Sounds like you still don't understand anything about politics, philosophy or the economy.

    17. Re:Corporations cannot self-regulate. by Valdrax · · Score: 1

      But not at the expense of others.

      Only under a very strict "no duty to act" view of what is or isn't at the expense of others.

      One can see how strictly Rand applies that rubric of "not at the expense of others" by the raw contempt with which she held groups of weaker people banding together to tell the strong, "Stop hurting us for your own benefit."

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    18. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      Excellent comment. I was going to post something along the same line.

      It's not the interest of the corporation that matters, it's the interest of the decision-makers. The management balances the risk of a chance at multi-million dollar bonuses with the risk of, at worst, losing their jobs (usually with golden parachutes!) if the company were to implode and easily come to the conclusion that the risk to them is small compared to the massive rewards available.

    19. Re:Corporations cannot self-regulate. by dkleinsc · · Score: 1

      My point is that those markets were relatively unregulated (no SEC, no FDIC, etc) and utterly failed to self-regulate.

      --
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    20. Re:Corporations cannot self-regulate. by plasmacutter · · Score: 1

      Organizations have no self-interest, but the people running them do, and those interests aren't always the same as the organizations' stock holders, employees, or customers. The fact that Greenspan couldn't figure this out even after the Enron debacle indicates that he was grossly blinded by ideology. Of course, the fact that our legal system supports the fiction that corporations are people helps perpetuate such nonsense.

      This 'oversight' is pretty much par for the course in libertarian thought, and the "economics" they use to underpin it.

      they forget basic pitfalls in economics any high school teacher worth his salt will pound home again and again:
      -principal agent problem
      -moral hazard
      -fallacy of composition

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    21. Re:Corporations cannot self-regulate. by rastoboy29 · · Score: 1

      Actually, what he said (and what Rand said) is perfectly true.

      The problem both of them ignore is that human stupidity can easily trump their wish to protect their self interest.  In other words, you can't trust many people to look after their _real_ self interest, as they are not competent to discern what that could be.

      If we were all Olympian gods like Rand's characters, this wouldn't be a problem.  I'm a disiple of Rand, except for this little detail!

    22. Re:Corporations cannot self-regulate. by Anonymous Coward · · Score: 0

      Mr. Greenspan was an early devotee of author Ayn Rand, whose 1957 novel Atlas Shrugged inspired a generation of libertarian thinkers who believe in the right of individuals to live entirely for their own interest.

      ...and this is wrong how? It's not that they have the *right* to live entirely for their own interests. It's that they *will* live entirely for their own interests.

      Knowing what drives people is very important in creating policy. Otherwise, you end up with "wishful thinking" policies.

      Thankfully, cooperation with others is often a great way to find yourself in situations that benefit your own self interests.

  16. scale is too small for self regulation by spectro · · Score: 1

    Proponents of self regulation don't get that the scale is too small for it to work, even planet-wide.

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    1. Re:scale is too small for self regulation by Anonymous Coward · · Score: 0

      Proponents of self regulation don't get that the scale is too small for it to work, even planet-wide.

      Scale of what? The scale of self regulation would require only 1, be it an individual, business, corporation, etc. The thing that is regulating itself. From my perspective there are a metric ass ton of these individual, business, corporations, etc.

      I'm sure I'm misunderstanding your point, perhaps you could elaborate?

  17. I call BS... by nweaver · · Score: 2, Insightful

    There are enough cases, eg, NebuAdd, NX-domain wildcarding, P2P traffic disruption, where the ISP gains a large net benefit from behaving in a non-neutral manner, and as high-bandwidth ISPs are a duopoly at best for most individuals, unless you can reveal their practices AND the threat of regulation & marketplace rebellion, the net becomes unneutral.

    Remember, the "market will take care of itself" was also promulgated by CATO in respect to Wall Street, and we know how well that worked out.

    --
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    1. Re:I call BS... by Attila+Dimedici · · Score: 1

      Remember, the "market will take care of itself" was also promulgated by CATO in respect to Wall Street, and we know how well that worked out.

      Really? When was Wall Street given the opportunity to "take care of itself"? The government has intervened to significantly contribute to creating problems on Wall Street and then used those problems as an excuse to intervene even further.

      --
      The truth is that all men having power ought to be mistrusted. James Madison
  18. Net Neutrality Law is Necessary by Eravnrekaree · · Score: 2, Insightful

    The article is just full of utter nonsense that should be clear to anyone knowing anything about the internet. The ONLY way to gaurantee that ISPs will not censor the net is to gaurantee that they dont, in the only truly enforceable way, with law. It is all too easy for the ISPs to implement hardware and software that will restrict access to or impede access to certain content. The consumers, given the near monopoly position of the ISPs, would have little other choice than to put up with this. It could also be that only exorbitantly priced service tiers would offer unrestricted access to the internet, meaning access to the full internet would only be available to a small, wealthier segment of the population. Furthermore, even though an uncensored common carrier, whether it is postal or electronic, is essential to free speech, I am unsure if enough consumers would realise the great importance of this to take demand a change of their ISPs behaviour. ISPs of course can just reject that request and leave consumers without recourse.

    Net neutrality can only be assured, adn free speech therefore, with it being required by law and ISPs being recognised for what they, as common carriers and that they should be required to carry all information over their networks unmodified. To allow otherwise is to open the door to censorship, and to make these corporations the functional equivalent of the Chinese government, blocking whichever sites which suit them. This would have an effect exactly equivalent to government censorship that it should be considered the same as government censorship.

    Net nuetrality is also unnecessary for the ISP. They claim it is needed to raise revenue to maintain the network. This is utterly incorrect as they can use bandwidth tiers to do this. Speed and performance levels should apply without discrimination to all content flowing over the network.

    Net neutrality is to protect consumers rights and free speech rights, by assuring every person can access all information made avialable on the internet and publish their own content which can be accessed to anyone else, without it being blocked.

    We can expect conservative organisations to be prejudiced against the interests of free speech and the people and to be high biased towards large corporate interest whom they represent and who finances them. They are highly ideologically biased to an approach which endangers individuals freedoms in favour of large corporations, by dismantling the voice of the people, our democracy, and removing all restrictions from corporations which turns them into an unelected plutocracy which takes the functional role of a totalitarian government. I oppose totalitarianism in the form of corporation or government, often either which are different in name only, and therefore I oppose censorship of the internet by corporations or government, and I support Net Neutrality laws passed by our democratic government to assure that ISPs are not permitted to block access to content.

    1. Re:Net Neutrality Law is Necessary by a+whoabot · · Score: 1

      So I gather my funds and start up an ISP. My idea for the ISP is that I will block Bittorrent and other P2P transfers and supply all other services without throttling for a cheap rate. I get a number of customers because they don't care about P2P and they just want a connection for checking email and reading the news at a cheap rate.

      Your net neutrality laws would force me to close down this operation in the name of "free speech" and my customers would be worse off because they would have to go over to the other ISP which charge a higher rate in order to pay for p2p bandwidth which these customers have no use for. It's seems like you would be trampling over freedom of association in a misguided crusade for free speech.

    2. Re:Net Neutrality Law is Necessary by Areyoukiddingme · · Score: 1

      That made no sense at all. Why do you think you could gather up your funds and build an ISP and block bittorrent and be any different from the incumbents? They already do that, in many countries, and they throttle pretty much everywhere. Second, if it was that easy, don't you think there'd be a new ISP every week? Providing internet service to any substantial population is astoundingly expensive and absurdly difficult. It has taken the incumbents a solid decade to get where they are, while milking a century old business (in the case of the phone companies) to fund it, plus bleeding the federal government for $100 billion, and we criticize them for being too slow to get farther. And you're just going to gather up funds? You know somebody with $200 billion in spare change?

      Why don't we pass laws that are designed with financial reality in mind, instead of a fantasy world full of hundreds of competing ISPs.

  19. Why would ISPs even want to censor? by MikeRT · · Score: 2, Insightful

    The only thing ISPs care about by default is that their users aren't abusing access to the Internet through means like taking up too much bandwidth or doing illegal things. They don't care whether you spend your day on Slashdot or Stormfront. If left up to their own devices, which they have been so far, they let their users go wherever they want until the law says otherwise. What makes you think that the government is more likely to come in and say that they must do this, rather than come in and tell them they have to block access to certain sites and opinions? There's already precedent for the latter, but not the former, in many Western states.

    1. Re:Why would ISPs even want to censor? by shaper · · Score: 1

      ISPs don't even care about users abusing access specifically, unless it affects their ability to operate and make money. The only thing any business cares about is maximizing shareholder (owner) value. If an ISP offers a paid service over their network, they have a direct financial interest to promote their service over competing services. Since they own the "last mile", they have a natural monopoly position with inordinate power over the services and their quality as they reach the user, including competing services that run over that last mile. Human nature suggests that eventually at least some of these ISPs are going to abuse their control of the wire. At that point, the most effective solution is government intervention through regulation, as is the case in most every situation involving natural monopolies.

    2. Re:Why would ISPs even want to censor? by d34thm0nk3y · · Score: 1

      Your cable company, on the other hand, might prefer you to watch their pay-per-view rather than watch Netflix streaming...

    3. Re:Why would ISPs even want to censor? by Anonymous Coward · · Score: 0

      The only thing ISPs care about by default is that their users aren't abusing access to the Internet through means like taking up too much bandwidth or doing illegal things.

      What's optimal for [ISP] is not necessarily optimal or beneficial for an open and neutral internet.

      When you read something like *"X works better than !X" the question you should immediately ask is this:
      Works better for whom?

      4 of the top 5 ISPs have what could only charitably called a conflict of interest between their tv/pay-per-view offerings and their internet offerings.

      *X = a neutral internet

  20. The premise does not support the conlusion by DoctorNathaniel · · Score: 1

    Even granted the premise that a neutral net works better, this does not mean that ISPs will tend toward neutrality - people do NOT act rationally, which is one of the many problems with libertarianism.

    Much more likely the owners of networks will feel that there is a profit to be made by throttling services and then charging.. even though everything works more poorly and even though they might even make less money in the long run. That's irrelevant: what business leaders, like anyone, act upon is their PERCEPTION of what makes money. Worse, people (read: ISPs) will try to stop other people (read: Google) from "taking advantage" of them, even when it doesn't hurt their business and in fact helps it.

  21. that's insane by circletimessquare · · Score: 2, Insightful

    the meltdown is due to human psychology. i did not know you needed regulations to create panic and fear. i suppose if we had no regulations, the very concepts of panic and fear would disappear?

    fact: an unregulated market is subject to times of irrational exuberance, and times of panic and fear. there is absolutely no prerequisite to these truths, and no escaping them. the only way to save ourselves form the excesses of irrational excitement or hysteria is regulation

    if you don't believe or understand that, you ar ein some sort of denial and choking on some massive propaganda

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:that's insane by Kintanon · · Score: 1

      You imply that occasional irrational market swings are inherently undesirable. I don't agree.

      Market fluxuations of that nature are not in and of themselves destructive. They can be opportunities for people to become wealthy, or they can not affect you at all. Or they can bankrupt you. There is ALWAYS risk in a free market.

      --
      Check out JoshJitsu.info for Brazilian Ji
    2. Re:that's insane by compro01 · · Score: 1

      When it is a profoundly massive irrational market swing, it is most certainly inherently undesirable.

      observe a long-term graph of the DJI and tell me that isn't a massive example of a long lived bubble popping.

      --
      upon the advice of my lawyer, i have no sig at this time
  22. Net Neutrality Law is Suicide by CranberryKing · · Score: 2, Insightful

    Net neutrality is to protect consumers rights and free speech rights, by assuring every person can access all information made avialable on the internet and publish their own content which can be accessed to anyone else, without it being blocked.

    Your crazy if you think that is what the government will actually do. Look at the direction those same governments have gone so far with respect to civil liberties and freedom of speech. You want to hand the keys to the entire communication infrastructure over to them and say, "promise to do the right thing, okay". You will be delivering censorship on a silver platter, in a more augmented and frightening way. Large corporations can become corrupt, that's inherent in human nature, but there are steps you can take to combat them. Large governments, tend to become tyrannies and removing them typically requires lots of people to die. On an unregulated Internet we are free to write our own applications, encrypt communication and take our own steps to work around greedy, short sited ISPs. Once the government is involved, you will either be a terrorist or pedophile if you do so. Think about it because once you hand it over you will never get your truly free Internet back again.

    1. Re:Net Neutrality Law is Suicide by Eravnrekaree · · Score: 1

      I think you missed the point. Net Neutrality protections will keep government AND corporations out of meddling by censorship of the internet. The Net Neutrality law asserts and reaffirms our right to free speech. It would actually not allow the government you are concerned about to censor and will prevent the corporations from censoring. It would protect our freedom and our liberty to free speech as it should be. Law should be used as a tool in this case to protect the rights of the individual to free speech and to free expression, not to have these censored or impeded by corporations, government or anyone else. That is what net neutrality is meant to do. To protect your freedom and to keep government and corporations from making decisions about what you have a right to say. Generally law should be made to protect peoples rights and self determination, not to take away the rights of individuals, all of whom have equal rights to self determination, liberty, and to live, and to protect our environment, animals and so on, not protect the rights of a few wealthy elite or large corporations.

      Your argument is perplexing. Its like saying we should not have a first amendment protection of free speech and that this is government going "too far". With your line of thinking we would have no first amendment and which could lead to eventual full blown censorship, just like in Australia and other places where there is already a trend developing in that direction. Net neutrality does not give government more power, It actually reduces anyones power to censor another's speech.

      Your notion that government is more dangerous than corporations is naive. If democratic institutions of government were dissolved, this would leave corporations, that have develop or would develop, by ammassing power, economically and militarilly, to take their place as de facto governments. Corporations would establish private police forces to assert their order and their perogatives, and could seize economic resources by force and thus through control of resources make people dependant on them, none of it in a democratic manner. Without a democratic government with law enforcement and regulatory powers, this is the sort of totalitarianism that would emerge, where the strong and powerful become more so and crush the less fortunate. The challenges to a people faced with such would be no different than had this corporation been named a totalitarian undemocratic government. They would be in effect, functional governments, but totalitarian ones. The only way to ensure your freedom is to assure the existance of democratic institutions with law enforcement power and to provide social security systems, and work through that to protect your freedom and to encourage and support legislation which gaurantees your freedom and oppose efforts that would endanger it. For government to carry out its proper role of protecting the rights of the people and of as a safety net to assure safe employment and access to basic necessities, necessary as an aspect of the right to life, an ability to pay system of taxation is reasonable for the benefits that are received. Another key and necessary protection of your liberty is that all institutions should be subject to independant oversight. Corporations should be subject to independant regulation by government, and thus should not be financially tied to corporations. There should be an independant media not tied to corporations or government or having any conflict of interest so they are able to independantly report on and investigate the activities of both government and corporations. All of this is essential to a functioning, open, free society.

    2. Re:Net Neutrality Law is Suicide by Eravnrekaree · · Score: 1

      I should reinforce that the role of government is to protect the rights of all persons, their equal rights, and to protect animals and the environment. One has a right to self determination but not to deprive others of the same right. The role of law is to protect self determination, but this does not mean allowing people to violate the rights of other persons, to harm animals or the environment. So the right to equal self determination rights is self determination, if one has such rights we do not have a right to take it from another. It is also important to have a bill of rights which contains basic rights of the people, such as free speech, due process of law, and to a clean environment, to protect the rights of all persons including the less powerful and the minorities. it should be the role of government to protect those including the less fortunate and less powerful. Without such an egalitarian purposed system and a democracy and a basic charter of rights, it is too easy for the "might makes right" and "only the strongest survive" paradigms to set in, which oppress the less fortunate for the benefit of expanding the power of the elite. It is wrong for some, a powerful few, to hoard large aggregations of essentials, so they can then deny those essentials to others, and thus their right to life, or use this control to enforce control over them, that in order to gain access to essentials the common people have to do what the elite say. This is the world corporations are creating through controlling resources, they control people. Now they just need to get democratic government out of the way or make it ineffective and they can become defacto governments with their own private security forces and be free to do whatever they please. The only thing that stands in the way of this is the people and their democratic elected governments to force these corporations to work in the common public interest of the people rather than for the elites, and to respect the rights of all people, including the right to a living wage and to safe working conditions, reasonable hours and other such considerations. In the world libertarians envision, we would see a people enslaved as such by large corporations and their lives ordered by them through such mechanisms, and people would few or no rights or recourse, representation through democratic process to advocate for their own rights or needs of the common people. Corporations would be able to do whatever they wanted and there would be nothing at all to stop them. Thats the world, the hellish world of suffering and misery, for all but an elite few, a world consisting of a vast and utterly impoverished and miserable majority and a very small exceedingly wealthy elite, instead of a more fair and egalitarian society where wealth is more broadly and evenly distributed among all the people and all people can make a good living wage from their work in safe conditions. Under libertarian idealogy, It would be a system that serves the elite at the expense of everyone else, treating the common people as a slave labor class to be exploited and discarded when no longer needed, with no respect for their rights or freedoms.

    3. Re:Net Neutrality Law is Suicide by CranberryKing · · Score: 1

      I'm not sure where you've been living, but currently our 'democratic institution' is the biggest threat going.
      We already have a 1st Amendment, so why create more legislation?
      Odd that you call me naive. I find your positions idealistic, academic, and completely unrealistic with a disturbing level of faith in the masters that govern you.

    4. Re:Net Neutrality Law is Suicide by Eravnrekaree · · Score: 1

      We have the first amendment but it needs to be further reinforced with law in this specific, explicit case. The first amendment is very broad and general, by design, but often needs to be backed up by more explicit law which further reinforce this right in specific circumstances, such as to assert that ISPs should not be allowed to censor the internet, nor anyone else. So the law proposed will protect and expand our freedom, assert it, who could complain about that unless you dislike free speech.

  23. Quis custodiet ipsos custodes? by mahsah · · Score: 1

    But who watches the watchmen?

  24. Regulatory Capture by Jodka · · Score: 1

    The second major point of the original article which is not mentioned in the summary above is that any government agency created to regulate net neutrality would be subject to regulatory capture.

    It would be interesting to hear a rebuttal of that point here by any advocates of net neutrality.

    --
    Ceci n'est pas une signature.
    1. Re:Regulatory Capture by Valdrax · · Score: 1

      It depends on your regulatory framework. If net neutrality laws come down to, "Don't discriminate traffic based on who the parties are, what the protocol is, or what the content of the traffic is," then any regulatory capture that happens is hamstrung in what it can accomplish.

      If the agency promulgates regulations that undermine their statutory mandate, you go after them with an APA claim, arguing that the agency's decisions were "arbitrary and capricious." If they engage in selective enforcement, go with a 14th Amendment claim. Etc.

      Honestly, I have a hard time seeing how regulatory capture could really happen with net neutrality as long as the legislation actually provides it in the first place.

      --
      If it's for-profit but free, you're not the customer -- you're the product (e.g., the Slashdot Beta's "audience").
  25. End to end neutrality, where I own the ends. by Vellmont · · Score: 1

    I certainly didn't real 44 pages of ramblings. What I _did_ read was examples all based on an environment of enormous competition where anyone could provide a solution. Does anyone really think this is the case with ISPs? For the physical lines coming into my house I have two options. The telco or the CableCo. If you're lucky you get to choose your ISP, but even that doesn't seem to guarantee you neutrality if the Bell Canada story summaries are correct.

    The point being, when competition doesn't exist, like is the case with most peoples choice of who provides them internet service (i.e. legal monoplies), Lee's whole argument falls apart. Comparing THAT to someone inventing SMTP, or VoIP in an open environment is a ridiculous comparison.

    --
    AccountKiller
  26. He was the chairman of the Federal Reserve though by mahsah · · Score: 1

    So he isn't REALLY a Free Market advocate.

    In before "no true scotsman"

  27. Government as "Them" by bitspotter · · Score: 1

    It's getting easy to pigeon-hole libertarian rhetoric that seeks to divide politicians and government in general from the people they represent.

    The argument that "we should do nothing, because we suck at it" (where "we" means us and our government by the people) just doesn't pull weight for me anymore. It's not as if we have more influence over commercial network operators through any other means.

    Sure, market fundies are always telling us that we can exert influence within a robust, competitive marketplace. NEWSFLASH: 2 options for millions of consumers is NOT competitive! Foster some real competition in the marketplace, and then you can use the competition argument.

    And, gee, who do we call to enforce competition? Could it be, government regulation?

    So much for doing nothing.

    The idea that a technology "works better" is also conveniently vague. There are many goals to a network. Some people want to communicate. Others want to make money. These two do not always mix. I'd like my interests in how to reconcile the conflicts of these interests represented by some policy other than "always give the businesspeople what they want".

    Maybe the FCC sucks, but it's //mine//. Your oligopolist ISP is not.

  28. Greenspan is a liar by megamerican · · Score: 3, Insightful

    Greenspan was one of the people responsible for changing regulations that led to this crisis. Once he became FED chairman in the 1980's he started circumventing the Glass-Steagall Act of 1933.

    http://www.pbs.org/wgbh/pages/frontline/shows/wallstreet/weill/demise.html

    In 1933, Senator Carter Glass (D-Va.) and Congressman Henry Steagall (D-Ala.) introduce the historic legislation that bears their name, seeking to limit the conflicts of interest created when commercial banks are permitted to underwrite stocks or bonds. In the early part of the century, individual investors were seriously hurt by banks whose overriding interest was promoting stocks of interest and benefit to the banks, rather than to individual investors. The new law bans commercial banks from underwriting securities, forcing banks to choose between being a simple lender or an underwriter (brokerage).

    In August 1987, Alan Greenspan -- formerly a director of J.P. Morgan and a proponent of banking deregulation -- becomes chairman of the Federal Reserve Board. One reason Greenspan favors greater deregulation is to help U.S. banks compete with big foreign institutions.

    In December 1996, with the support of Chairman Alan Greenspan, the Federal Reserve Board issues a precedent-shattering decision permitting bank holding companies to own investment bank affiliates with up to 25 percent of their business in securities underwriting (up from 10 percent).

    Late 1999:

    After 12 attempts in 25 years, Congress finally repeals Glass-Steagall, rewarding financial companies for more than 20 years and $300 million worth of lobbying efforts. Supporters hail the change as the long-overdue demise of a Depression-era relic.

    Just days after the administration (including the Treasury Department) agrees to support the repeal, Treasury Secretary Robert Rubin, the former co-chairman of a major Wall Street investment bank, Goldman Sachs, raises eyebrows by accepting a top job at Citigroup as Weill's chief lieutenant. The previous year, Weill had called Secretary Rubin to give him advance notice of the upcoming merger announcement. When Weill told Rubin he had some important news, the secretary reportedly quipped, "You're buying the government?"

    Greenspan was the major player in repealling the legislation which would have kept this mess from ever happening. It is very doubtful that Greenspan didn't know why Glass Steagall was enacted in the first place.

    Of course he is going to plead ignorance. He doesn't want to get put behind bars and flogged by the masses by admitting he is a criminal.

    --
    If you have something that you dont want anyone to know, maybe you shouldnt be doing it in the first place -Eric Schmidt
  29. neutral network works better??? by Orig_Club_Soda · · Score: 0

    "because a neutral network works better than a non-neutral one"

    That's an extremely subjective comment. Especially when we look to other aspects of our society with non neutral paths: car pool lanes, speed limits on on trucks that are lower, express trains, buses, and lanes; affirmative action, and illegal immigration. All of the fore-mentioned allow users to skip ahead of others based on an established criteria. If load balancing or whatever the term is for biased net traffic worked in our favor, I doubt we would complain. I am sure students would not complain if their status as student granted them the privilege of faster downloads and faster media downloads over business traffic.

    I think a neat experiment like this might lend some insight: Example: What if AT&T loaded balanced only subscribers to AT&T net access - while allowing non-AT&T subscribers a neural experience on their tubes. This way, the user gets to purchase privileges access through AT&T or choose neutrality by not choosing AT&T for access. Overtime we will see which system is preferred, or "works better" from the consumer point of view.

    All this boils down to the have-nots wanting what the haves can afford - yet are unwilling to compensate for the preferred experience.

    1. Re:neutral network works better??? by david_thornley · · Score: 3, Insightful

      Choosing a car analogy was the right thing to do, but it's the wrong analogy.

      The roads are neutral in a very important way: any appropriately licensed driver is permitted to drive any appropriately registered vehicle on any public road suitable for the physical form of the vehicle. There are no public roads on which you may drive a U-Haul truck but not a Ryder truck.

      Similarly, I want the internet to be neutral, in the sense that it doesn't matter where a packet comes from or where it's eventually going. ISPs are welcome to charge more for different levels of service. I'm not going to complain about reasonable levels of packet shaping, such as cutting down on P2P to allow VOIP through at low latency. The problem is if I have to pay more to get Google packets rather than Yahoo's.

      If there were enough competition going on, we could let the market sort itself out. However, most people have limited choices in broadband providers (I'm very lucky; I've got three choices), and it's not like I can start my own last-mile internet service, getting easements and rights-of-way to run my own lines. For most people, if one or two providers do something they don't like, the only other choices are dial-up or satellite.

      --
      "When you have eliminated the unacceptable, whatever is left, however improbable, must be the truthiness" - Holmes
  30. CATO Institute: Corporate Anarchists by Doc+Ruby · · Score: 1, Informative

    The CATO Institute is "libertarian" the way that "libertarian" is "corporate anarchist". They oppose people creating governments to protect their rights, because those governments get in the way of corporate power to exploit those people.

    --

    --
    make install -not war

  31. The net works better... by Obfuscant · · Score: 1
    For whom? The people who provide the service and need to limit the use to limit their required investment in hardware, or the people who use the service who want things to go everywhere as fast as they can all the time?

    Unfortunately, neutrality makes the net work better for the latter, and the latter don't provide the service or define the terms.

  32. Oligopolies? by Moryath · · Score: 4, Insightful

    You could call the US market an "Oligopoly."

    But that's understating the case.

    In >80% of the US market currently, the customer is functionally given three choices: Dialup, Monopoly ISP (Cox, Comcrap, AT&T, etc), or NOTHING. They don't have a "choice" at all.

    For example: no DSL is built to my home. Verizon can't/won't build out FiOS because, they claim, they don't "own the physical phone lines" so while I could switch to them as my phone provider, they have no ownership/authorization to push FiOS. Functionally, I am limited to Dialup, Comcrap, or NOTHING and even the dialup companies are dying fast.

    The 'net cannot stay neutral WITHOUT legislation when you have big companies like Cox and Comcrap that have monopoly status over far too many of their customers. Hell, that's how we got this fucking-stupid "250 GB" traffic cap setup as well.

    In an actual competitive market, the customer can go to the best provider. In a monopoly market, the customer is inevitably given the "choice" of either crap service or no service. Unfortunately, government regulation to protect consumer rights (which was signed away by both Clinton and Bush, little by little) is necessary because otherwise the market devolves into monopoly control everywhere, and the only "competition" happens on the fringe edges where you might have two big mostly-monopolies trying to horn in on each other's monopoly turf.

    1. Re:Oligopolies? by pin0chet · · Score: 2, Insightful

      The competitive ISP market you desire will arise on its own in the next five years because of smarter, more effective broadband technologies. At the heart of this is spectrum, which erases the rules of the game as they existed up until now and replaces them with conditions far more conducive to entry (and exit).

      Laying a wire to each home is really, really expensive on a per-household basis. Verizon has spent upwards of $1,000 per home to add FiOS. Building completely from scratch is even more costly.

      But wireless is a whole different story. Sure, you've got to have base stations, which require backhaul, but the costs involved there are much more bearable than those involved with old-fashioned overbuilding.

      To see why wireless broadband is such an important vehicle for broadband competition, consider Wi-Max. It's already giving DSL a run for its money in Baltimore, because it offers reliable throughput of 3Mbps down/2Mbps up for $25 a month, with no strict usage limits. Of course, Wi-Max isn't the end-all of wireless, but merely a stopgap until Long-Term Evolution really takes off.

      LTE will completely change the game when it starts getting widely deployed in a couple years. After the 700mhz band is vacated in a couple months, T-Mobile, Sprint, Verizon, and AT&T will all work on building out LTE networks, which will offer at least 10Mbps for the same price as a typical home broadband connection.

      Six to eight ISP choices may not mean as many choices as we have for burgers, but it's still a lot of competition, especially compared to what we have now. And it is surely enough to ensure that ISPs can't get away with the heavy-handed tactics that have angered so many of us recently.

      It wouldn't surprise me if by the time Congress finally gets around to regulating ISPs, the whole justification for regulating them in the first place is no longer logically valid.

    2. Re:Oligopolies? by riceboy50 · · Score: 1

      The taxpayers partially subsidized the infrastructure for our utilities and telecommunications. It was wrong for the government to grant monopolies over that infrastructure. There couldn't be a better example of why government involvement in the market ends up badly.

      --
      ~ I am logged on, therefore I am.
    3. Re:Oligopolies? by Draek · · Score: 1

      otherwise the market devolves into monopoly control everywhere, and the only "competition" happens on the fringe edges where you might have two big mostly-monopolies trying to horn in on each other's monopoly turf.

      I wonder whether the fact that the above sounds just like a description of the US election system is a coincidence or not...

      --
      No problem is insoluble in all conceivable circumstances.
    4. Re:Oligopolies? by SwabTheDeck · · Score: 1

      Econ 101 explains why this is necessary in the telecommunications industry. It will be this way forever unless a mainstream technology emerges to provide service without an egregious amount of infrastructure. In exchange for exclusivity for digging holes or jamming posts into the ground all over town in order to lay wire, the government sets price caps on telecom services. This has certainly been the case for traditional voice service, but there has occasoinally been action taken regarding internet service as well. Relatively recently, when the "New AT&T" started piecing itself back together from the Baby Bells, they were ordered to provide DSL service for $10/mo to many markets (side note: this was controversial because getting information on this deal was made to be extremely difficult). The simple course of action should be to extend existing agreements to include provisions for net neutrality in exchange for these ISPs keeping their monopolies. If they don't want to play ball, then just let the market squeeze them until it becomes financially impractical to maintain their infrastructure and then they'll see the light.

  33. Ooooh, yes it can vanish by unity100 · · Score: 1

    the 'free market' was supposed to ensure fair competition and fair share in television and radio broadcasting, and printed media too.

    did it deliver?

    no.

    in all countries, more than half of the publications and broadcasts belong to 1-2 cartels, which are generally aligned with a particular political party, and they ensure that the persons who will support their own ends will get elected.

    the 'free market' was going to assure fair competition in finance world and would regulate it itself, according to alan fucking greenspan.

    did it deliver ?

    yes it delivered. it delivered RIGHT up to our butt. we are STILL on the opening stages of the crisis.

    just a month ago the proponent of that sermon came up in front of u.s. senate and admitted to his fault, said that he couldnt believe what happened.

    he knows what happened, we know what happened. CEOS, high level executives, shareholders are people too. there are crooks, bastards, irresponsibles, slackers, shysters, all kinds among them. there are those among them who wouldnt hesitate from breaking ENTIRE global economy to reap benefits.

    thats the human factor.

    human factor is there at the controlling helms of the internet connectivity providers too. which, not surprisingly generally belong to big cartels that own already trivialized broadcasting and printed media.

    one would be utterly stupid as to think that repetition of what happened in financial sector is not possible.

  34. Point out where it's only government intervention by Anonymous Coward · · Score: 0

    Because you have otherwise to prove that it isn't the lack of regulation that has not caused the problems.

    Go find one.

  35. "Libertarian" by unity100 · · Score: 1

    the more such organizations post crap like this, the lesser my respect for that political viewpoint becomes.

    it appears that libertarian view is becoming a refuge for the shysters that screwed entire world through the 'let everything be' preaching of holistic economists, since republican party is down in fortunes these days.

    DONT accept them into your view. they will screw not only you, but entire world, again, if you let them.

    1. Re:"Libertarian" by bnenning · · Score: 1

      the more such organizations post crap like this, the lesser my respect for that political viewpoint becomes.

      Ah. So I take it you support the Iraq war, legally enforced DRM, massive government surveillance, the war on drugs, and corporate welfare.

      DONT accept them into your view.

      Freedom bad, check.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
  36. A thought experiment by FiloEleven · · Score: 2, Insightful

    Which would you rather have?

    1) A bunch of large corporations dueling it out amongst themselves, with the ones who gain and maintain the largest market share being the most successful.

    2) A bunch of large corporations dueling it out amongst themselves, with the ones who gain and maintain the ears of the most powerful government officials being the most successful.

    Yes, companies will abuse their positions in the name of greed. There is no way around that. When you get government involved, however, you're simply raising the stakes. Sure, you can vote out the current crop of greedy politicians who favor the corporations, but you're still stuck with the bad laws they made because it's a hell of a lot easier to pass a bad law than to repeal one. Libertarians think that it's better to pass no law than a bad law.

    Additionally, as other posters have done, I challenge you to point to some concrete examples of the free market failure you believe is so rampant. (You might want to avoid pointing to the Great Depression, as that has been debunked before and will no doubt be debunked again should you do so.)

  37. The people should watch the watchers. by wfstanle · · Score: 1

    That's easy! The people should keep watch on the regulators. If some regulation is wrongly or poorly implemented, then the voters should express their dissatisfaction at the ballot box. (At least in a perfect world.) Yes, sometimes it takes a long time before the voters say "Enough!!!", but eventually they do.

  38. Fix it by Anonymous Coward · · Score: 0

    Then fix the system: http://www.metagovernment.org/

  39. Re:Libertarians love censorship by Anonymous Coward · · Score: 0, Flamebait

    So there's some libertarian conspiracy now where bands of brain-damaged libertarians roam slashdot modding down contrary opinions because they can't figure out how to form an argument? More likely, slashdot simply doesn't have many actual libertarians but many people who lean that way on several topics (personal liberties, national sovereignty, etc) and anti-libertarian arguments are often modded down because, rather than refuting their arguments on merit, people revert to statements like:

    If they can't refute your arguments, they will try to stop you from arguing.

    or

    Libertarians aren't smart enough or educated enough to argue their case, so they mod you down in the hopes that no one sees how badly their philosophy fails. Most libertarians are only capable of parroting back other people's arguments, so when you present them with an argument they haven't seen before, they don't know what to do. I think libertarian indoctrination must cause brain damage, because very few libertarians can actually think for themselves.

    Ironically, while bashing libertarians for failing to put together an argument, you have completely failed to put together an argument.

    And, as insurance, you even claim that "Most anti-libertarian arguments on Slashdot get modded down," so that if anyone mods you down (Off-Topic, Flamebait, Troll, and Overrated all seem to apply well to your post) they're just supporting the will of the brain-damaged libertarian horde. Well done.

  40. Re:Point out where it's only government interventi by knails · · Score: 1

    No, no, the burden of proof falls on the one making the point. You're both making points, so you both have the burden of proof. He doesn't have proof, because none exists. However, you also have no proof against his points. A free marked has never been allowed to occur, so there is nothing to cite for or against it.

    --
    "I disapprove of what you say, but I'll defend to the death your right to say it" -Voltaire
  41. Re:Libertarians love censorship by CodeBuster · · Score: 1, Flamebait

    If they can't refute your arguments, they will try to stop you from arguing. Most anti-socialist arguments on Slashdot get modded down. Socialists aren't smart enough or educated enough to argue their case, so they mod you down in the hopes that no one sees how badly their philosophy fails. Most socialists are only capable of parroting back other people's arguments, so when you present them with an argument they haven't seen before, they don't know what to do. I think socialist indoctrination must cause brain damage, because very few socialists can actually think for themselves.

    There. fixed it for you. Isn't ad-hominem fun?

  42. Re:Libertarians love censorship by That's+Unpossible! · · Score: 1

    C'mon, seriously? This isn't a libertarian thing -- people tend to mod down stuff they disagree with, it's human nature. Give me a break...

    Libertarians aren't smart enough or educated enough to argue their case

    Ahhh... ok.

    Most libertarians are only capable of parroting back other people's arguments, so when you present them with an argument they haven't seen before, they don't know what to do.

    Seriously? You're going to try and make the "sheep" argument against a small group of people that decided to stray out of the left/right democrat/republican fold, and think for themselves about what could be if we had more freedom and less government involvement in every part of our lives?

    Really? You want to go down this path?

    If you do, let's do it. Leave out the ad hominem attacks, and present a real argument in favor of government intrusion into the free market system, and I'll debate with you.

    --
    Ironically, the word ironically is often used incorrectly.
  43. It's all about money and power... by kabocox · · Score: 1

    Hmm... It all comes down to money and power. We've got alittle money and we usually pay monthly subscriptions to an ISP to connect through them to "the internet." They in turn have various amounts of money and power and try to use it to assure that they will always have money and power...

    I don't think that they are thinking long term. They are just trying to screw their end consumers, all the content publishers, maybe the government and other ISPs for as much as they can. The government is our tool for clubbing all those ISPs that we can't usually affect.

  44. Bad form, I know by FiloEleven · · Score: 1

    Apologies for replying (first, even!) to my own post.

    I should make it clear that I am not opposed to good, well-thought-out network neutrality legislation. While I lean libertarian and find government intervention distasteful, I am increasingly of the opinion that the Internet should be considered a public resource and should be treated as such by law. ISPs (should) play a similar role to water or power companies, who have no right to dictate how I use the water or electricity or throughput that they provide.

    My previous post was a high-level statement of why government's role should be minimized as much as possible and did not deal with the specifics of this case.

  45. The Invisible Hand Job by Anonymous Coward · · Score: 0

    Ahh, CATO. We can always count on the High Priests of the Invisible Hand to explain how if we would just stand back and let the market work, we would all be better off. Why do I feel like I'm about to be crushed by the Invisible Thumb?

  46. Can they stop us? by Kintanon · · Score: 1

    You know, I remember a time when FidoNET was "The Net" and legions of individuals ran servers in their homes.

    It's entirely possible to return to that in a highspeed manner.
    I've got wireless radios, I've got cantennae. I'm fairly certain that with a little bit of work I could get a gigantic wireless mesh network with SID of "TheInternet" put together in the city I work in.
    We would lose some commercial content, but I think plenty of people would be willing and able to mirror things onto our new internet from their uncapped connections to the commercial internet.

    I can see some problems with oversease connections, but not ones that are insurmountable.

    There's not really any way for "The Government" to screw with "the internet", we can always move it.

    --
    Check out JoshJitsu.info for Brazilian Ji
    1. Re:Can they stop us? by Areyoukiddingme · · Score: 1

      It's been tried. Even in the incredibly high density population of San Francisco, it didn't work. A company tried to get everybody to buy a wireless router and link it to other wireless routers owned by their neighbors into a mesh network. It was an abysmal failure. The trouble with the mesh is it has to be a dense mesh before it works at all. A sparse mesh isn't a mesh - it's a bunch of sad little islands, isolated and forgotten.

      Figure out how to get past the sparse mesh stage and you'll have something. Until then, we're stuck with our duopolies.

  47. Re:Libertarians love censorship by onemorechip · · Score: 1

    a small group of people that decided to stray out of the left/right democrat/republican fold

    I wouldn't call them that. They take the liberal point of view that people should have rights, and augment it with the right-wing point of view that corporations should have rights. In other words, they want it both ways.

    --
    But, I wanted socialized health insurance!
  48. The greatest trick... by Anonymous Coward · · Score: 0

    ... the Devil ever played was convincing people he does not exist

  49. Re:Libertarians love censorship by Anonymous Coward · · Score: 0

    %s/socialist/apple/g

  50. you're ignorant of history by circletimessquare · · Score: 2, Insightful

    go study the banking panics of the 1800s

    panic sets in, feeds off itself, and destroys the entire marketplace

    your comment is in direct contradiction to established historical fact

    what is wrong with you free market fundamentalists?

    a little regulation HELPS. it can do nothing but help. let go of your bizarre irrational fear and your cult-like approach towards free markets. you're not logical or reasonable in your approach, you're like arguing with a creationist: you've taken a single act of faith: that a completely free market is always good, and in spite of all common sense and reasonable evidence to the contrary, you will not let go of your religious deathgrip on a fundamentalist absolutist concept

    the best market is a sandbox: free within certain parameters, regulated when the marketplace swings to extremes

    go ahead, dispute that. i expect you to. you're not a reasonable person, you're a member of a fundamentalist religion, beyond the reach of reason

    no, a completely free market is not a good thing, it is a stupid thing

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:you're ignorant of history by Jherek+Carnelian · · Score: 1

      you've taken a single act of faith: that a completely free market is always good, and in spite of all common sense and reasonable evidence to the contrary,

      Sounds like a strawman argument to me. Sure, there probably are people like that, but I doubt they compromise even a significant minority of people who strongly support free markets.

      Any rational free-marketeer understands that even open and unregulated markets fail. They just believe that the severity and consequences of such failures are on average less than the kind of failures that occur in any other system.

      It isn't that free markets are perfect, it is that they are just the least worst option.

  51. To make more money, of course. by Anonymous Coward · · Score: 0

    Well, after seeing stories like this, I have to conclude that regulation is inevitable, so I'll go with good regulation rather than bad regulation.

    I was honestly hoping that they had some kind of idea that didn't amount to "believe in the power of the free market" but they don't. And if the people don't regulate, the lobbyists WILL. For that matter, we know that they ARE.

    It's sad, really. When this issue came to light, left & right joined forces against it. The ACLU teamed up with the Christian Coalition. Nobody wants to let them pull that crap. But now, they've managed to divide us against each other so that we'll be stuck with infighting while they find a way to shove it down our throats.

    1. Re:To make more money, of course. by Lost+Engineer · · Score: 1

      Good regulation? So you're the guy that's going to argue that it's better not to block kiddie porn when they go to shutdown the pirate bay because some pervert uploaded a torrent?

  52. Re:Libertarians love censorship by spun · · Score: 2, Insightful

    Okay! That was trolling, this is arguing.

    First, the free market has well known failure modes: natural monopoly, where the marginal cost of entry into the market increases dramatically after the initial entry. Roads, sewers, electric and phone lines are a great example. Information asymmetry is another, and externalities are the third.

    Second, money is power, and power can be used to oppress. A free market is a similar choice mechanism to a democracy, except that in a free market, it is one dollar, one vote. The more money you have, the more you can use your money to change the parameters of the market.

    Third, choice. A free market does not provide real choices. It provides the illusion of choice. And where it does provide real choice, it seeks to hide the real differences in those choices, making picking the better item or service difficult.

    Fourth, Destruction of intrinsic motivations. A competitive market destroys intrinsic motivation to do something. For instance, go to a bar and ask all the women if they will sleep with you. You may get lucky. Now, same thing, except offer to throw in ten dollars. You will strike out every time, because you have destroyed intrinsic motivations.

    Fifth, duplication of effort. A competitive market requires duplication of effort where a socialist system does not. Each company must repeat the efforts of all other companies in a given market, instead of sharing effort.

    Sixth, closed communication channels. In a competitive market, innovations aren't shared as freely as they could be in a socialist system, because that would be giving away advantage.

    Seventh, waste and mismanagement. A competitive market develops its own special kinds of parasites, who add nothing of value to society yet make a lot of money. Advertisers, for instance. Or the insurance industry. These people are professional manipulators, con artists, gamblers and frauds, yet they are richly rewarded in a capitalist system.

    Eight, real world examples. No company is set up internally as a free market system. None. If the free market is so great, why don't companies organize themselves that way internally?

    There's plenty more where that came from, but lets see if you can refute even one of these points before I bring out the big guns.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  53. "We don't need regulation..." by dpbsmith · · Score: 1

    I've heard this sort of rhetoric dozens of times. And the answer is always the same. If the proposed regulation "isn't needed" because it's exactly what would happen anyway without regulation, then the proposed regulation shouldn't pose a problem for anyone... so why is there any objection to it? Why not humor the people who want it?

    1. Re:"We don't need regulation..." by bnenning · · Score: 1

      so why is there any objection to it?

      "The Patriot Act will only be used to catch terrorists".

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
    2. Re:"We don't need regulation..." by plasmacutter · · Score: 1

      so why is there any objection to it?

      "The Patriot Act will only be used to catch terrorists".

      False dichotomy.

      net neutrality merely codifies the current internet status quo as law.

      the patriot act serves to deliberately change the constitutional status quo in favor of abusive governmental power.

      one is the exact opposite of the other.

      --
      VLC FOR MAC IS DYING! IF YOU DEVELOP, PLEASE SAVE IT!!
  54. Re:Libertarians love censorship by spun · · Score: 1

    Mmm, ad hominems ARE fun! I love trolling libertarians. Not even socialists are as self righteous and uptight. Religious fundamentalists come close. The only people who are more self righteous and uptight are Apple fanboys. If I ever get a chance to troll a religious fundamentalist libertarian who loves Apple, my life will be complete.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  55. Exactly by Radical+Moderate · · Score: 1

    The free market may be the greatest thing since sliced bread, but free market theories fall apart when you're talking about a duopoly with huge hurdles for any third-party competitor to overcome. I can't figure out if these libertarian types are being deliberately dishonest or if they're just so in love with their theory that they're blind to the realities of the situation.

    --
    Never let a lack of data get in the way of a good rant.
  56. Re:Libertarians love censorship by spun · · Score: 1

    Thank you! Trolling libertarians is my favorite pastime.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  57. Re:Libertarians love censorship by iamhigh · · Score: 1
    I'll bite...

    First, the free market has well known failure modes: natural monopoly, where the marginal cost of entry into the market increases dramatically after the initial entry. Roads, sewers, electric and phone lines are a great example. Information asymmetry is another, and externalities are the third

    Your right that there is a thing as a natural monopoly. Your wrong that it invalidates a libertarian stance. Libertarians are not 100% against any government - that is anarchy; if you can't understand and acknowledge that, please just stop reading now. But the government has done nothing to LOWER the bar in these natural monopolies - in fact, they have raised them.

    Second, money is power, and power can be used to oppress. A free market is a similar choice mechanism to a democracy, except that in a free market, it is one dollar, one vote. The more money you have, the more you can use your money to change the parameters of the market

    As opposed to our current system where your vote counts about 1/300Mth towards decisions. But whatever, I'll give you that one.

    Third, choice. A free market does not provide real choices. It provides the illusion of choice. And where it does provide real choice, it seeks to hide the real differences in those choices, making picking the better item or service difficult

    That doesn't compute. Can you please explain how your socialistic utopia will provide more and better choices?

    Fourth, Destruction of intrinsic motivations. A competitive market destroys intrinsic motivation to do something. For instance, go to a bar and ask all the women if they will sleep with you. You may get lucky. Now, same thing, except offer to throw in ten dollars. You will strike out every time, because you have destroyed intrinsic motivations.

    Now, same thing, but don't make it an insulting amount of money. $100 would have a better chance for you than no money. $1000, for sure. But it just changes the motivation for that single act and nobody says you HAVE to offer money. This is a really dumb one.

    Fifth, duplication of effort. A competitive market requires duplication of effort where a socialist system does not. Each company must repeat the efforts of all other companies in a given market, instead of sharing effort

    True. But it also creates a desire to better than others in your field. A single, socialistic internet provider has no incentive to provide better service, other than good nature. A free market makes you want to do better because your business (then you, then your family) will do better; and you can still just do it to be good natured.

    Sixth, closed communication channels. In a competitive market, innovations aren't shared as freely as they could be in a socialist system, because that would be giving away advantage.

    Now you are just repeating yourself. See your #5.

    Seventh, waste and mismanagement. A competitive market develops its own special kinds of parasites, who add nothing of value to society yet make a lot of money. Advertisers, for instance. Or the insurance industry. These people are professional manipulators, con artists, gamblers and frauds, yet they are richly rewarded in a capitalist system.

    True to an extent.

    Eight, real world examples. No company is set up internally as a free market system. None. If the free market is so great, why don't companies organize themselves that way internally?

    Because that is a market system, not a government, that is elementary. Most companies are a form of dictatorships, care to explain why that is? Should we become a dictatorship because businesses (and most household, for that matter) are?

    --
    No comprende? Let me type that a little slower for you...
  58. dcollins near top is right by tomtomclub · · Score: 1

    'Libertarian leaning' doesn't quite describe Cato. Catonians are true believers, ideologues and as such should be taken no more seriously than your mechanic discussing the intricacies of brain surgery. Cato is also an almost-paid mouthpiece for big business. And, as dcollins points out, they were very in the wrong about Wall Street and the financial markets. One of the examples of self-regulation that Tim Lee sites is AOL going under. AOL and those like it, only went under because no one else was using their model. AOL, Compuserve, and Prodigy for example, provided a closed model to their customers, which collapsed once their customers discovered they could go anywhere with the Web browser. If the on-line service provider model became institutionalized, everyone would adopt it and we'd be back to a closed off network in which we'd all pay a premium to leave your providers network.

    1. Re:dcollins near top is right by bnenning · · Score: 1

      Cato is also an almost-paid mouthpiece for big business.

      A ludicrous claim, as a cursory glance at their positions would show. But Cato does inspire an extremely hostile reaction from many liberals, who are perhaps threatened by arguments for free markets on the basis of liberty and benefit to ordinary people, as opposed to the all too common corporatist Republican types.

      If the on-line service provider model became institutionalized, everyone would adopt it

      Why? It's already established that customers overwhelmingly prefer the open Internet. As long as there's any competition whatsoever, it will stay that way.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
  59. BZZZT! REALITY GROUND ERROR! by Moryath · · Score: 2, Insightful

    Really, you think "wireless broadband" will be the savior? It's got more problems than wired (latency issues, distortion/signal strength issues, materials penetration issues, interference issues).

    And if that weren't enough, if anything "Wireless Broadband" is already MORE restricted than wired (DSL/Cable/FiOS) offerings. For example, both Verizon and AT&T cap you at FIVE GB. Your own example (Wi-Max) sneakily enters into underlying "service provider" agreements to pull the same stunts.

    Again: a FIVE GB cap, even when advertising their service as "unlimited." Use anything over that, and they cut your account instantly (while insisting, of course, that if you want to get out you have to pay them severance charges).

    "Wireless broadband" is not your savior.

    1. Re:BZZZT! REALITY GROUND ERROR! by socrplayr813 · · Score: 1
      Wireless isn't anybody's savior, but he is right that the barriers for entry into the wireless market are far easier to overcome than wired. It is possible we'll see small companies start to pop up offering wireless in competition with the big guys.

      As far as your issues... They are potential problems, but any new startup with half a brain should be able to at least mitigate some of those.

      ie. They can test signal strength at a home during the signup process and they can sell/rent receivers to set up outside the home and run wires inside to deal with those pesky walls....

      Not perfect, but certainly better than burying wires

      --
      The confidence of ignorance will always overcome the indecision of knowledge.
  60. Re:Libertarians love censorship by spun · · Score: 1

    Oh christ. I am a long time anarcho-syndicalist, and you are a fellow who doesn't know what libertarian OR anarchist means. Libertarians are anarchists. Specifically individualist anarchists. 'Anarchy' doesn't mean what you think it means. It means, 'no tyrant' not 'no government.' Please, go read some basic introductions to anarchy.

    Libertarians do not want ANY government regulation. US Libertarians, that is. In the rest of the world, libertarian is just a synonym for anarchist. In America, it means a member of the Libertarian party.

    When the market is guaranteed to fail, you need regulation or democratic control.

    Socialist utopia provides better choices by removing the incentive to lie about choices. If you aren't trying to prop up crappy products and business practices in order to make a buck, you will get better choices.

    The $10 for sex was just an example. There are plenty more. For instance, my brother is an artist, but he hates making art now that he works for an ad agency doing it for money. The basic premise is that, once you offer money for something, it becomes all about the money and any original reasons you may have had for doing it become moot.

    Prove that competition makes people want to do better. If that were true, companies would internally organize as multiply redundant departments competing against each other. They don't.

    Five and six are similar, but not identical. The work alluded to in five is not necessarily research, but may also refer to economies of scale that are not achieved in a competitive market.

    So, you admit competitive free markets aren't as efficient as dictatorships. Therefore, the government should dictate to companies what they should do. A democracy of the people can still be a dictator to corporations.

    The flea market is a great example of market failure. Few sellers gets a truly fair price because of unbalanced market forces. Specifically, information asymmetry. Sellers know more about the real quality of items than buyers do, therefore, buyers must systematically undervalue the merchandise to protect themselves from dishonest buyers, resulting in lower prices across the board, even for honest sellers.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  61. Pro-war libertarians. by Valdrax · · Score: 1

    And WTF? libertarians support the PATRIOT act or unilateral action against sovereign nations? you know some funny libertarians, and I'm glad I haven't met them.

    You must be fortunate enough to have not heard the radio show of Neil Boortz. He's a registered and self-proclaimed Libertarian, but he's strongly in favor of a muscular approach to terrorism.

    Basically, he's a Republican who isn't religious (and thus doesn't buy into the culture war issues) and doesn't like the War on Drugs. He's arguably in the border. I'm not sure whether dismissing him as one is justified or an example of the "No True Scotsman" fallacy.

    --
    If it's for-profit but free, you're not the customer -- you're the product (e.g., the Slashdot Beta's "audience").
  62. How would Glass-Steagall prevent a housing bubble? by jareds · · Score: 1

    You go into great detail about the history of the act, but neither you nor you link explains the connection. Honestly, I think this is just the left-wing variant of blaming the Community Reinvestment Act -- neither claim seems true. Note that mortgage securitization was around for decades prior to 1999, so that's not it.

  63. how'd you do that? by circletimessquare · · Score: 1

    you understand the concept of someone who irrationally adheres to an absurd faith, in spite of evidence to the contrary... and then you go ahead and do that anyways

    dude: study history, the banking panics of the 1800s. a completely unregulated market has severity and consequences WORSE than one that is regulated. all you need is panic, a basic human psychological phenomenon to make this happen. panic feeds off itself, the market drives itself into oblivion: its historical fact, established time and time again

    accept historical fact, or remain just like a creationist, believing in an absurd idea, routed and disproved many times over: a completely unregulated marketplace is a powder keg of destruction, with far worse consequences than a regulated one

    solid, established historical fact

    read, learn, educate yourself:

    http://en.wikipedia.org/wiki/Bank_run

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:how'd you do that? by Jherek+Carnelian · · Score: 1

      dude: study history, the banking panics of the 1800s. a completely unregulated market has severity and consequences WORSE than one that is regulated

      Perhaps you do not know the meaning of the phrase "on average?" As in, "over the long term." You are all hyperventilating about one specific kind of failure and completely ignoring other kinds of failures, like, for example, stagnation.

  64. "Libertarian" is code for The Rich Win, You Lose. by EWAdams · · Score: 1

    Just as we needed a certain piece of regulation called the Bill of Rights to prevent the powerful from abusing the weak, so we need other forms of regulation to prevent the rich from abusing the not-rich. Maximum freedom is indistinguishable from anarchy.

    --
    I piss off bigots.
  65. King of England by Anonymous Coward · · Score: 0

    Replace ISP with King of England and you could have been a founding father.

  66. 80% by square mile perhaps. by HornWumpus · · Score: 2, Interesting

    If you live in the city or most 'burbs you have at least DSL and cable. Also dialup and satallite but they suck. Classic Oligopoly.

    Markets rarely devolve into monopoly (outside the fevered imaginations of 'know it all college hippies'). Much more typical is the other way around (additional competitors enter the market over time), which is why wireless is so important. Much lower barriers to entry.

    --
    John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
  67. Re:Libertarians love censorship by rtechie · · Score: 1

    The basic premise is that, once you offer money for something, it becomes all about the money and any original reasons you may have had for doing it become moot.

    This is obviously false. It precludes the notion of someone being paid to do something they already love doing. Let's say you're a sex addict and you really enjoy sex with strangers (these people are out there), do those feelings magically disappear just because you decide to start getting paid for sex with strangers?

    Most well-paid people ENJOY the work they do, that's a big part of WHY they're well-paid.

    Hell, go out on a limb and say that being paid for something you love doing will probably INCREASE your love of that thing because it will increase your sense of accomplishment. Getting paid for something is positive feedback.

  68. dude by circletimessquare · · Score: 1

    you need regulation for a healthy market

    you need regulation, in fact to keep it free!

    i leave it to your boundless imagination as to why that is

    hint: left to its own devices, the marketplace would devolve into a...

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:dude by Anonymous Coward · · Score: 0

      hint: left to its own devices, the marketplace would devolve into a...

      A banking panic?
      Because, unless you are now switching arguments mid-stream, that's the only thing that fits what you have said previously.

  69. Re:Libertarians love censorship by Valdrax · · Score: 1

    When's the last time you've seen an actual socialist post on Slashdot, and how often do you see that compared to libertarian ones?

    I think you're using that word without knowing what it means. Most people who oppose libertarians on Slashdot are fans of a balanced approach to economics, but it's not atypical for fanatics who follow an extreme philosophy to paint all the people who disagree with them as belonging to the other extreme pole. The debate here isn't Black v. White so much as Fanatics v. Moderates.

    (That said, I find it equally funny that every single thread where you find one side dominating the positive moderation will include several posts whining about how people with the same viewpoint get modded down. The real trend on Slashdot is that several high level libertarian posts get modded up, and then 5x as many rebuttals get modded up, and then petty little jerks from both sides go back days later and mod down people of the opposing side. Ah, politics on Slashdot!)

    --
    If it's for-profit but free, you're not the customer -- you're the product (e.g., the Slashdot Beta's "audience").
  70. Re:Libertarians love censorship by base3 · · Score: 1

    If I ever get a chance to troll a religious fundamentalist libertarian who loves Apple

    Given that being gay is pretty much inconsistent with being a religious fundamentalist, I wouldn't hold my breath if I were you :).

    --
    One CPU cycle wasted on digital restrictions management is ONE TOO MANY.
  71. yes, after the panics by circletimessquare · · Score: 1

    you are left with an oligopoly

    see the things about "free" markets is they favor the dominant powers. and lets for the sake of a thought experiment, imagine the libertarian utopia of a market of equals. after a few iterations, this market of equals devolves into a few dominant powers. its inevitable. only regulation can save us from the from the unsymmetrical power the dominant players have in an entrenched marketplace

    this is a fundamental basic weakness of all libertarian arguments in fact: wealth accumulates in a few hands, and this process accelerates, and remains entrenched, and warps the playing field. you can't have a market of equals, it always devolves into haves and have nots. you have to have intrusive laws, regulation, and a busy body governmental force to constantly even the playing field. the whole libertarian ideology is a fantasy utopia, incompatible with reality

    oh and btw, i'm not changing my argument, i'm expanding upon it

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:yes, after the panics by Anonymous Coward · · Score: 0

      oh and btw, i'm not changing my argument, i'm expanding upon it

      Rrrright. You've gone completely afield - from banks need regulation because otherwise people panic, to markets need regulation because otherwise monopolies form. So yeah, you've completely expanded it to cover areas irrelevant to your original point.

      In either case, you completely ignore the effects of regulatory capture. Which just happens to be at the core of the current meltdown.

  72. Re:Libertarians love censorship by Lost+Engineer · · Score: 1

    Corporations should have rights. There would be no point in forming one if they didn't. People should have rights. It wouldn't be a civilized society if we didn't.

  73. Re:Point out where it's only government interventi by onemorechip · · Score: 1

    One doesn't have to cite a completely free market to demonstrate a need for regulation. One could just cite an instance where deregulation failed.

    --
    But, I wanted socialized health insurance!
  74. Information Assymetry by Chris+Rhodes · · Score: 1

    The flea market is a great example of market failure. Few sellers gets a truly fair price because of unbalanced market forces. Specifically, information asymmetry. Sellers know more about the real quality of items than buyers do, therefore, buyers must systematically undervalue the merchandise to protect themselves from dishonest buyers, resulting in lower prices across the board, even for honest sellers.

    That's an interesting statement. I notice this all the time when I go buy a lot of things (especially phones, games and technology.) I'm talking about bugs, and if a seller communicated that my phone will crash several times a month, and another seller gave me a warranty that mine wouldn't, guess who I'd buy from. This information assymetry concept, it now gives voice to my thoughts on ebay, market scams, buggy software and phones, all the abuses that companies perpetrate on me. E.g., they're lying to me to get my money.

    1. Re:Information Assymetry by iamhigh · · Score: 1

      They are lying - sometimes. But that is what is great about competition. If ATT phones suck it up, are you going to buy them again, when there is healthy competiton? Nope. But what if the govt declared ATT THE ONE AND ONLY cell phone supplier in the US, like Mr. Spun wants? Then what do you do when they lie? Violent revolts?

      --
      No comprende? Let me type that a little slower for you...
    2. Re:Information Assymetry by spun · · Score: 1

      With government regulations and mandated transparency, companies couldn't lie as easily as they do now. And if they did, we could more easily stop them and punish them. Besides, who said anything about mandating ONE company? People use straw man arguments when they can't think up real ones.

      --
      - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  75. Re:Libertarians love censorship by Anonymous Coward · · Score: 0

    I am a long time anarcho-syndicalist

    So basically, you're a commie. Thanks for clearing that up. I won't argue with you, since arguing with a communist is like arguing with a pig. When I get mod points, which is fairly often, I will moderate you down.

    Commie scum like you need to be killed.

  76. Kill those who tagged this article 'astroturfing' by Anonymous Coward · · Score: 0

    Those who tagged the article - a thoughtful libertarian proposal - as 'astroturfing' all deserve to be killed.

    It's time for the pro-freedom, pro-capitalism crowd to start funding death squads to deal with the regulationists.

  77. man are you propagandized by circletimessquare · · Score: 1

    let's put this way: i have now advanced two logical and reasonable assaults on the folly of free market fundamentalism and the idiocy of libertarianism. you have responded to neither assaults. meanwhile, you vomit up "regulatory capture" as if that esoteric sideshow is suppose to dispel either of the two rocks of gibraltar sitting in front of you you fail to address:

    1. a market without regulation will fail due to panics

    2. a market without regulation will devolve into unsymmetrical powers, an oligopoly

    this is the essential folly of libertarianism: it is a set of ideas incompatible with reality. in reality, if you made an experimental libertarian society, classes would emerge, and completely destroy the necessary equality required for a libertarian utopia to work. the truth of libertarianism is this: it supports entrenched classes and the established rich. it doesn't work amongst equals, because it destroys the equality between the players in a "free" marketplace. to keep the marketplace truly free, you have to actively exert intrusive regulatory forces to suppress the power of dominant players

    this is the truth, it is ironclad, it is insurmountable. understand why libertarian ideals lead to inequality in reality, or understand nothing

    i am sorry, but you are going to need to open your eyes. you have a propaganda-addled mind. you are probably some very well-meaning college philosophy minor, too many books under your belt, and not enough real life experience. consider the nature of the human being in your thought experiments. currently, your ideas about how libertarianism and free market is supposed to work depends upon human beings behaving in ways no human being has ever behaved in any culture in all of history

    you're green, ignorant. you'll grow up someday and realize your folly

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:man are you propagandized by Jherek+Carnelian · · Score: 1

      let's put this way: i have now advanced two logical and reasonable assaults on the folly of free market fundamentalism and the idiocy of libertarianism. you have responded to neither assaults.

      Seems to me that I refuted your original "assault" in my original response but due to your own personal irrational adherence to an absurd faith were unable to acknowledge it -- which is why you just repeated your same mantra about "read history dude" instead of taking to heart the criticism that stagnation is a signification risk of regulation.

      When that AC laughed at the irony of you becoming that which you accuse others of, you just dropped the point rather than defend it. As far as I'm concerned, your new point is really unrelated to your original point in anything other than name and a bunch of hand-waving about "reality" which is really just your faith in certain realities and ignoring other realities.

  78. This might work.... by Eskarel · · Score: 1

    if the quality and functionality of the network was something that the people involved in it care about.

    They don't, they care about their own profits and more precisely how those profits affect the salary bonuses of the people making the decisions.

    A non neutral internet probably is sub-optimal, but so long as it's sub-optimal in a way which maximizes the salary packages of the execs who run the backbone ISPs that won't matter.

  79. Re:Libertarians love censorship by onemorechip · · Score: 1

    I concede the point that corporations should have certain rights. I definitely overstated the case by trying to put my thought into a simple aphorism. But where liberals and libertarians diverge is that liberals don't believe corporate interests should trump individual interests. Yet if you have any regulation designed to prevent such a thing from happening, libertarians will jump all over this as interference with the sacred "free market".

    In my original point, I was arguing against GGP's assertion that libertarians were somehow outside the traditional classifications. More often than not, when forced to choose between major parties they will align with Republicans, and thus with right-wing philosophies, in spite of their otherwise liberal inclinations. Some may not see a contradiction in such a position. I do.

    --
    But, I wanted socialized health insurance!
  80. Re:anal sex by Anonymous Coward · · Score: 0

    No need to get all butt-hurt about it.

  81. that hardly caused a global financial collapse by Trepidity · · Score: 1

    Banks knew they were making these loans. They knew the assets they were holding on their balance sheets. They were responsible for holding sufficient reserves to cover the risk on their balance sheets. They underestimated the risk, were woefully undercapitalized and overleveraged, and failed.

    In addition, most of the financial instruments causing losses aren't even real mortgages. Credit-default swaps on mortgages were initially a way of decoupling credit risk from interest-rate risk: so you could buy a securitized mortgage, but also buy effectively default insurance. Except, you could buy the default "insurance" if you didn't own the mortgage too. And people totally unconnected to the mortgage could sell the swaps. End result: every outstanding mortgage had on average seventy times its value in outstanding derivatives.

    The problem was not that some $300k houses foreclosed. Even semi-competent banks could handle that without the entire financial system collapsing. It's that each of those $300k houses had $21 million in financial instruments riding on it. And whose fault is that? The unregulated free market, combined with the financial industry being run by incompetent idiots who couldn't do credible risk estimation if their business depended on it (which it did).

  82. How about breaking the Cost of Anarchy? by jonaskoelker · · Score: 1

    If you do some game theory, you might run into the term "Cost of Anarchy".

    In some games [which you should really read as "models of economic situations"], if everybody acts in their own best self-interest, you reach a stable state, put the payoff to the citizenry is less than what it could be if the players were regulated.

    In particular, I remember this coming up in a game dealing specifically with either building networks, or routing packets on them.

    If the economic realities are such that the citizenry is better off when regulated, I want regulation. I want the most people to be the best off, and I won't hold on to an ideal of freedom that doesn't produce that.

    Now, _implementing_ it, that's the hard part... maybe we could make all market regulations last for three years and be renewable, all at the same time. Then the government can plan ahead based on experience from the past three years, better economic models and such. Let's call the set of regulations... uh... I dunno... ;) Something about building a windmill?

  83. Re:Libertarians love censorship by ultranova · · Score: 1

    When's the last time you've seen an actual socialist post on Slashdot, and how often do you see that compared to libertarian ones?

    I believe that the purpose of society is to first and foremost ensure the life and well-being of its members. Since freedom is important to the well-being of a human being, it is also important to ensure that, but not more important than to, say, ensure that everyone have enough to eat. It is also important to note that the freedom is not the same as liberty: you can have total liberty to act as you will, but unless you also have resources to take some action, you aren't free to do so. This requires ensuring some minimum level of wealth to all members of society, which is usually done through social security or other public assistance. Furthermore, since resources imply power, great amount of resources must come with restrictions on how they can be used, to prevent the rich from becoming dictators. The purpose of Government is to oversee all this.

    That good enough for you ?-)

    --

    Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

  84. The "market" loved slave labor... by Anonymous Coward · · Score: 0

    Please allow me to be ther first to say: "Ha!" At best this man is someone who should not be allowed out into the real world.

    I'm an economist, and market forces and the invisible hand as much as the next guy,

    This is the same paradigm that Alan Greenspan had when he was against deregulation. And to quote Mr. Greenspan a week or so ago "I have found a flaw... and been very distressed by this fact."

    To put it simply: ISP's do not bear the full costs of their decisions.

  85. Re:Libertarians love censorship by iamhigh · · Score: 2, Interesting

    Libertarians are Anachist
    Libertarians hate govt regulation, so therefore, so do Anarchist
    You want the govt to dicate what corporations?
    You do realize that a corporation can be a single person, or family in my case. You want nobody to be able to open a business and make a living for themselves?
    Agreed, I have no idea what your definition of Anarchy is. I think the other poster said it, you sound more like a commie, using some crazy definition of Anarchist to pass off your views as better than what they really are.
    As for the flea market... why do you care what the sellers make? Don't you just want the consumers to be the ones that win? I thought you didn't care for "companies" (aka sellers). Again, you seem to be contradicting yourself.

    --
    No comprende? Let me type that a little slower for you...
  86. Dammit! by Larryish · · Score: 1

    Lee addresses counter-arguments with a blog posting for Technology Liberation Front."

    As opposed to the Technology Liberation Front of Judea?

  87. Re:Libertarians love censorship by spun · · Score: 1

    Unfortunately for you, science is on my side. And you don't understand what I'm saying at all. Money is an extrinsic motivation, but it is a motivation. The studies show that money does not add to intrinsic motivation, it replaces it. And most extrinsic economic motivation. Here is a link to a neutral-to-negative critique of Motivation Theory to get you up to speed and give you a few actual, you know, educated arguments against it. Sigh.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  88. Re:Libertarians love censorship by spun · · Score: 1

    Everyone is both a seller and a buyer, and therefore should desire a mechanism that arrives at a fair price, which the free market does not. And I am not talking about MY definition of Anarchy, I am talking about THE definition of anarchy, that is, the things that all anarchists have in common, not what my branch of anarchy is all about. And it's not communism, though it's close. Anarcho-syndicalists believe in private property, just not individual control of natural resources.

    What made you think I'm against "companies?" You are reading too much of your anti-commie paranoid fantasies into what I write. The free market has a place, it works well where it works. It just doesn't work everywhere. For instance, any sector with low barriers to entry and healthy competition should have as little regulation as possible. Only regulate the failure cases, like the natural monopolies of utilities, or the externality of pollution.

    Look at all the privatization of socialist or communist countries in the last two decades. What worked, and what didn't? Privatizing factories, and especially commodity production, increased efficiency overall. But privatization of utilities decreased it. The free market works for some things, but not for others.

    We all stand to gain by using the right tools for the job. Libertarians see everything as an economic nail, because all they have is the hammer of the free market. They dislike government because they do not have the tools to govern.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  89. Good grief by Jawn98685 · · Score: 1

    More neocon "the free market will take care of everthing" mythology horseshit. If there actually were anything like a truly free and open market when it came to the Internet, such simplistic mumbo-jumbo might, just might, have a chance of playing out in the way the dittoheads would like to believe. In practice, the "series of tubes" (and more importantly the business decisions that dictate where the tubes go, how big they are, what they carry and when, etc.) are far more complex. Business is business and where it is profitable to act in a given fashion, that is how business will, and arguably should, act. If that action is to stifle competition and cheat customers out of contracted services, as is currently happening, that is what they will do, absent any other influence. Why is that so hard to grasp?

    1. Re:Good grief by binarybits · · Score: 1

      I get the sense you didn't RTFA. Or know what a neocon is, for that matter.

  90. Re:Libertarians love censorship by jp10558 · · Score: 1

    I don't believe that offering money or paying money makes the task all *about* the money. I think it has to be more of a spectrum, like just about everything else. If I was in a situation to live my life without money, I don't think I'd give up doing something - I'd get really bored. I'm lucky in that I like my job enough, I wouldn't just go off and do something else random, but likely would still enjoy doing what I do, even without pay.

    I'm sure there's many people who would never go back to work and would instead take up different things to spend their time on. I think there are few who would just sit around doing nothing however. Even retired people I know get bored of watching TV all day, every day.

    Back on point - there are people who are lucky enough to like what they do at work. Doing something enjoyable might well be something you'd do without the money.

    For instance, my brother is an artist, but he hates making art now that he works for an ad agency doing it for money.

    This is the example I think is too anecdotal to really tell us anything. I like playing around with Computers, setting up servers or configuring hardware and software to do new different things. I did this at home quite a lot, before getting a job doing system administration. Now I get to do it with more hardware and different software that I couldn't afford at home, and even better, I have real reasons to set up network monitoring software for instance, something that has been a lot of fun for me, but I wouldn't ever do it at home, as there's no reason to. I've gotten better at scripting for deployments at work, something I don't need to do at home.

    But I still like to set up servers at home. I just got an OpenSolaris raidz2 NAS setup. Great for backing up my PCs at home. Not something I'd do at work however.

    I know a mechanic who works on cars all day, every day at work, yet still loves to work on and build up his racecar.

    I could go on, but not everyone decides to stop doing what they like, just because they got a job doing it.

    --
    Opera, Proxomitron-Grypen,GPG 0x0A1C6EE3
  91. Re:Libertarians love censorship by spun · · Score: 1

    Of course. All I am saying is that, on average, if you get money for something, whatever motivation you had for doing it aside from receiving money is decreased.

    --
    - None can love freedom heartily, but good men; the rest love not freedom, but license. -- John Milton
  92. Re:Libertarians love censorship by Lost+Engineer · · Score: 1

    Would it be any less of a contradiction to align with the liberals and their big government philosophies?

  93. Re:Libertarians love censorship by Valdrax · · Score: 1

    Seems part of the way there, but you haven't advocated the abolition of private property, completely bottom up ownership of industry, or really any of the extreme ideology associated with full-on socialism and the ending of capitalism.

    All of the things you mention are compatible with a mixed-model economy that still embraces capitalism wherever it's practical.

    --
    If it's for-profit but free, you're not the customer -- you're the product (e.g., the Slashdot Beta's "audience").
  94. Re:Libertarians love censorship by onemorechip · · Score: 1

    Since when does liberal == big government? You are falling for a canard that's been pushed by right-wingers (not conservatives, by the way) for over a quarter of a century. I'm a 70s liberal who never in his life favored "big government" and never subscribed to the attempt to redefine the word "liberal".

    Here's something you could read about who "big government" is.

    --
    But, I wanted socialized health insurance!
  95. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  96. Re:Libertarians love censorship by jwilcox154 · · Score: 1
  97. Are you sure you read it? by theowlseye · · Score: 1

    Not only did the article explain how the internet is opened now, it shows that it started closed and through praticality and market forces it has become more open. It also proved how quickly the internet reacts to bad business decisions, so the internet is even more sensitive to market forces than other areas of business. There is a nice helping of how regulatory agencies change thier mission after corprate insiders find there way in. Maybe you should read it instead of scimming through it.

  98. Crap Coke by Anonymous Coward · · Score: 0

    Are the people in this form worried that Coke will come out with a new Crap Coke? Are they worried that they will do this so they can sell the good coke at twice the price? Of course not and regulation does not need to be put into place to keep coke from creating crap coke.