Dumb Statist Thoughts: If not for government, restaurants would serve dirty and tainted food

in news •  8 years ago 

My favorite Pupusa restaurant got shut down due to health code violations. While I mourn for my loss I mourn further at those who don't understand basic economics and are praising government for protecting us. For 'were it not for government, restaurants would serve dirty and tainted food!'

Imma bout to drop some truth bombs on you....

No matter your religious or political or socioeconomic beliefs there is one truth that does not change:

The law of supply and demand exists, and it influences human behavior.

So let me ask, is there human demand for clean restaurants?

The answer is a resounding yes.

Currently the government has claimed the right to provide the supply to this demand.

The problem? Their supply is mostly monopolistic.

A private business could start a business rating cleanliness of kitchens. Government likely wouldn't stop them.

But government has the massive advantage of:

  • financing the supply with tax dollars. They can claim what they want to finance their endeavors
  • coercive force over the licensing process. They will physically stop you from opening your restaurant unless you take their supply

So a private business COULD directly compete, but the government has created a near monopoly and this drives out competition.

So let's say that tomorrow the government says they're done with that service. No longer will they provide supply to the demand for clean restaurants.

Will the demand go away when the supply dries up?

Of course not!

So who will provide it?

Capitalists.

Capitalists will exploit the demand and provide supply. And they'll do it better and cheaper.

Why?

Because company A will develop a system for measuring cleanliness and accountability. And restaurants will pay because customers will want to know they're going to a clean place (demand still exists).

But then company B will figure out a better way that customers trust and is cheaper. They'll gain market share.

Company C also starts. Their process isn't great. They're cheap, but customers don't trust them as much.

Company D sucks. They go out of business.

And so on.

As the market develops each company keeps trying to innovate to keep quality up while also innovating to keep costs down.

Service keeps getting better and more affordable.

Some restaurants won't participate. Then maybe they will keep it clean kitchen and maybe they won't do. But at least customers will know that it's up to them to figure it out at that point. Or not. Perhaps the demand doesn't come from every single consumer.

Regardless, juxtapose that process with the current process. You have bloated organizations that do a piss poor job of regulating cleanliness in kitchens.

Why would you want worse service at a higher price?

Because a free market scares you. That's why.

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that's good to know I like your post really great job thanks a lot for sharing and keep on posting ;)

A private company (or multiple, given the free market competition) transparently releases information to the public about restaurants that associate with them (And why wouldn't they if they wanted to lure customers that prefer a clean environment?) via privatized certifications based on standards upheld by said company.

If a customer doesn't see the certification on the wall, or disagrees with the requirements/standards of the certification then they are free to chose another eating establishment to patron.

Seems easy enough.

I'm sure there are plenty of restaurants that do the absolute minimum just because they have to. They would be absolute shit pits if not for regulations. That seems like it would be a good thing, but if there were no regulations, that business would probably go out of business and a new one willing to supply the demand of a clean establishment would take its place. Instead, the bare minimum restaurant keeps running, providing mediocre food in a place that doesn't care about cleanliness and probably only appears to be following the rules. And the people will never experience the clean restaurant that could have been there.

It's like the effect of regulations on employment. We'll never be able to measure what didn't happen, though logically we know

Also, username does NOT check out.

What?

Sorry, it's a reddit phrase. It means the username doesn't jive with the comment. You seem like you understand basic austrian economic theory very well. But your username, the author, has demonstrated quite the opposite in his progressive tweets of late.

I never really got into reddit . I thought that might be what you meant but it was just weird because I had just signed someone up to steemit and am waiting for the verification, and I never really heard that saying before. Just threw me for a loop because of weird timing. Stephen King is actually my name (not the author, except steemit posts). It's a blessing and a curse I suppose.

I understand the curse side of it. I'm active duty and writing under an assumed titled of 'Liberty Lover', but if you knew my name, you'd know I get the famous-person-confusion A LOT!