NNT = MMT
Net Neutrality wins. Bad move. The idiots who favor Net Neutrality are the same idiots who favor Modern Monetary Theory. In both cases they're ignoring Nature and worshipping Magic.

ANY TIME you force all prices to be the same, you're going to get evil results. You will end up with rationing by SOMETHING OTHER THAN PRICE, which usually ends up being Aristocrats vs Commoners. The Soviet system at its Stalinist peak showed this beautifully. ZIRP-style banking shows it as well. (Can we spell TBTF, boys and girls?)

You MMT types believe you're Aristocrats now, which is why you like the idea. And you probably are Aristocrats at the moment, because you loyally serve Goldman's purposes on Global Warming and Die-Versity.

But in Stalin's world, up becomes down at any moment. Then you'll be on the skinny end of the wire.

In most businesses there's a good reason for quantity discounts. Consider electricity, which is similar to web service. A factory gets a lower rate than a normal consumer for two reasons. (1) The constant overhead of poles, right-of-way, disaster repair, insurance, financing, and central office employees is about the same for each CUSTOMER. Some factors like generator fuel and maintenance do increase with each KILOWATT. So it's POSSIBLE to charge less per KW to a large customer. (2) When you keep a large customer happy, you're generating more than you would otherwise, which lowers the overhead for EVERYONE. So it's HELPFUL to charge less per KW to the factory.

The utility can only offer the discount because it knows who the factory is. The utility may be providing heavier wires and bigger transformers at the factory site: somewhat more expensive materials to avoid vastly more expensive repair costs and to keep the overall demand higher by satisfying the factory.

With guaranteed equal access, anyone could become a "factory" at any moment, so everyone needs to have heavier facilities. More expensive for everyone whether you're using the capability or not.

With a fixed and higher price, the big user has no special advantage, so he will find another way to get the service. Build his own generator, build his own ISP. Now the utility has much less demand overall, which means overhead for each customer and THUS PRICE TO EACH CUSTOMER must increase even more.

Thanks, fucking infantile magic freaks.

Labels: MMT

  ¶ 5:05 PM