Friday, September 30, 2011

The Taxicab Guild

The problem with New Orleans' economy isn't "too much government regulation," it is that all the regulations are designed to benefit a few, well connected individuals at the expense of everyone else.

I wonder how many marketing consultants they've hired to assist them with this. Meanwhile Berni is telling us the reason we can expect little more than ineffectual action from the city is that the people they're "meeting with" and whose interests they're going to protect are the "entrenched" brokers.


From the original article at The Lens, this quote is telling:

In other cities, permits are non-transferable and officials retain control over the process to earn more money for the public from the sale of cab permits. New Orleans city officials say they want to reform the taxi department, but it’s unclear whether a change from the market-driven system is likely.

A recent analysis in Washington, D.C., cautioned city leaders there against implementing a closed-market system such as the one in New Orleans.


"Closed-market" sounds like a savvy marketer found a good way to brand "modern-day feudalism." Now there's a term we're going to have to start using. That's how the powers-that-be and well-connected are able to keep talking about how "market-driven" and "business friendly" they are, when they really mean the economy is driven by political connections and closed off to any of the real competition you see in a true market based economy.

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