[purecapitalism] THE GREATEST IRONY OF ANTITRUST!

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Friday, April 1, 2011

 

Microsoft has learned from its own unpleasant experiences how to cause maximum disruption for its competitors via competition law, and it has filed a complaint in EU against Google! The filing of this complaint is the greatest irony of antitrust! The complaint charges that Google hurts competition by walling off content on its YouTube site, so other search engines cannot display accurate results; making it hard for Microsoft's mobile phone software to show videos from YouTube; blocking access to content owned by book publishers; not letting advertisers use their own data about customers garnered from Google on other sites; blocking websites from using competing "search boxes"; and making it expensive for potential competitors to Google to advertise online!

EU antitrust has been transformed into a terrorist religion, which relies on pseudoeconomic theories that bestow a veneer of objectivity and credibility on EU law enforcement practices that actually rely on hunch, whim, and blackmail. On all EU antitrust cases, from mergers to price fixing, arbitrary antitrust laws lead to ill-informed juries and bureaucratic abuse. Those laws also create a perverse incentive for entrepreneurs to hold down sales volume, stop innovation, and avoid improvements in price, quality, and service; otherwise, such entrepreneurs could become the next targets of the antitrust terrorists.

Galileo muttered the phrase Eppur si muove, And yet it moves, after being forced to recant in 1633, before the Inquisition, his belief that the Earth moves around the Sun. Similarly the new inquisition of regulators force executives to admit something they did not do, in order to get smaller penalties. Eppur si muove!

European antitrust laws lead to huge corruption, because government officials ask for kickbacks in order to erase the alleged violation. The standard kickback in EU is 10% of the erased penalty! Many Greek officials were caught on tape asking for the corrupt tithe! Many European political parties make up their election expenses from kickbacks on antitrust cases! This is the worst possible blackmail, where tiptop ethical companies are held hostage by European kleptocrats. Eppur si muove!

European antitrust law is wielded most often by favor-seeking businessmen and their kleptocrat allies. Instead of focusing on new and better products, disgruntled rivals try to exploit the law by consorting with kleptocrats. EU officials routinely direct antitrust regulators to bend the rules in pursuit of political ends. In reality, the threat of abusive EC power is far larger than the threat of oligopoly. Eppur si muove!

The only viable definition of monopoly is a grant of privilege from the government. It therefore becomes quite clear that it is impossible for the government to decrease monopoly by passing punitive laws. The only way for the government to decrease monopoly is to remove its own monopoly grants. The antitrust laws, therefore, do not in the least diminish monopoly. What they do accomplish is to impose a continual, capricious harassment of efficient business enterprise.

There is an Antitrust Armageddon in Europe between tiptop companies and Fourth Reich(EU). Eurokleptocrats are willing to do anything in order to get kickbacks from industry leaders. The European antitrust laws have the unfortunate consequence of harming Europeans by chilling innovation and discouraging competition. Instead of protecting competition, EU laws protect competitors who give kickbacks to kleptocrats! Kickback is the lubricant that allows a European industry to run smoothly! No European machinery can run without lubricant! Eppur si muove!

When a company is forward-thinking, proactive, innovative, and productive, it will produce good products that customers want to buy. As a result, it will win a large market share. If the company is much better than its competitors, it might win most, or almost all, of the market. This is the case with Microsoft. It has earned its market share by producing good products that customers want to buy.

A company that wins a large market through its own productive efforts deserves accolades. This is because justice, morally, tells us that we must reward the good. However, to the government, a large market share is taken as evidence of anti-competitive behavior, which makes the company a target for antitrust action. This seems to be the motive behind the DOJ's suit against Microsoft.

To punish the good because it is good is the most vile inversion of justice conceivable. Yet this is the essence of antitrust, and this is exactly what the DOJ is doing to Microsoft. Microsoft is being targeted because it is good at its business, because it is successful, because it is competent. Nothing could be more unjust than this.

If you want to produce something in America or Fourth Reich, you'd better play the game. Contribute to politicians' campaigns, hire their friends, go hat in hand to a hearing, and apologize for your success. In a parasite economy no good deed goes unpunished for long. Kleptocrats, seeing an opportunity to extend their power and rake in some campaign cash and kickbacks, are circling like sharks. When executives don't show up when kleptocrats invite them, all it does is to increase kleptocrats' interest in what executives are doing and why they do not show up.

The economy is a good deal for people with connections. Executives are willing to invest money in kleptocrats, because they see opportunities in them. Executives see they can win things, that there's something to be gained. Washington and Brussels have become profit centers. All this reflects Depression-era criminal Willie Sutton's observation about robbing banks: That's where the money is.

Kleptocrats are costing trillions of euros and dollars every year. The brilliant minds of Silicon Valley and Redmond Washington, are going to waste time and energy on protecting their companies instead of thinking up new products and new ways to deliver them to consumers. Dragging smaller companies into the political swamps is just the latest diversion of West's productive resources into the unproductive world of political predation.

There is only one violator of Fourth Reich antitrust, and that's Fourth Reich itself, which does not allow VAT competition, fixing 15% floor of VAT and 25% ceiling of VAT! The Greek government also has a monopoly in armed robbery and corruption! The impunity of the 300 Graecokleptocrats of the Grand Brothel on Syntagma Square is the most freakish thing on Earth. Even though they looted many billion euros in kickbacks and churning, not a single Graecokleptocrat has ever gone to jail! They are protected by the parliamentary immunity, and nobody can touch them, no matter what. Moreover, they have the nerve to jail dissident bloggers. It's a long way from the 300 Spartans of Leonidas! Allons enfants de la Grece!

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