Free Markets Don't Need Umpires

California is trying to level the playing field for businesses - something the free market is designed to do. The free market does it far more effectively and without bias. Government tries to pick the winners and losers.

The bill hasn't passed the legislature yet, but Senate Bill 469 was approved by the California Senate with all 14 Republicans voting against the measure.

Apparently California has decided that Walmart, Target, and other big box retailers are unfairly competing with mon-and-pop operations so the local governments will have a chance - if the measure becomes law - to review the economic impact of having such a big box store and how that would affect smaller retailers.

In addition to costing taxpayers more money for such studies and staff time, it clearly is not the government's business which stores come and go as long as they meet the zoning requirements for a particular location.

That's what the free market does. It lets the consumers choose which stores and businesses get to survive.

As for the large stores versus the small ones, there is room for both as long as neither tries to duplicate the other.

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For more information on my coaching and educational programs and services, visit my website stevehoffacker.com, or go to my other bloghomesalesinsights.com for additional sales tips, insights, and commentary. Listen to my free podcast messages at Steve Hoffacker's Happenings.

Steve Hoffacker - Consultant, Coach, Author, Blogger, Photographer, Motivator, Teacher, & Strategist - for Realtors, Real Estate Sales Professionals, Home Builders, New Home Salespeople, Entrepreneurs, Small Business Owners, and Independent Sales Representatives.

© Steve Hoffacker, 2011. All Rights Reserved.

 

22 comments • Steve Hoffacker - Sales Trainer/Coach, Sales Books Author, Photographer • June 11 2011 11:07AM

Market forces are still working

At a time when price controls are being discussed and Congress has even suggested mandating the maximum a gallon of gas can be sold for, it's a real pleasure to see market forces actually controlling gas prices in our area.

In recent weeks, they've been lower than they are now, and they've been a little higher, but they seem to have found an equilibrium for the moment. This, of course, is subject to change from outside forces such as reduced supply, interruptions in delivery, or surging demand. Barring any of those, we have a stable market for now.

I'm not talking every station because I haven't driven past every station in the county,but from the many that I have seen, most stations are offering the same price. There are a few stations a little lower, and there a few as much as 5-10 cents higher, but most of the stations seem to be sensitive to market conditions and have apparently reached a sales price that works for both the station and the public.

This is what market forces are all about - supply and demand reaching an availabilty and sales price that is what the market will gladly pay. For now, we seem to be there - without any intervention.

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For more information on my coaching and educational programs and services, visit my website stevehoffacker.com or go to my other blog homesalesinsights.com for additional sales tips, insights, and commentary. You can also listen to my free podcast messages at Steve Hoffacker's Happenings. © Steve Hoffacker, 2009. All Rights Reserved.

18 comments • Steve Hoffacker - Sales Trainer/Coach, Sales Books Author, Photographer • March 05 2009 10:08PM