Friday, July 26, 2013
Explaining this shit
I've seen this photo forwarded on Facebook a couple times, and it irks the crap out of me. So here is me, explaining this shit:
The price of Coke and Aquafina beverages is stupid, because it's determined by the free market, capitalism. Aquafina is owned by Pepsi, and both Pepsi and Coke are allowed to set prices to whatever they want, so they set those prices based on what brings them the most profit. It's more profitable to make the smaller Coke more expensive, because people are much more likely to purchase those when they go into a gas station, or from a vending machine, for a single meal or to consume in a single serving. Aquafina (isn't it usually around $1?) is marked up and marketed to make people think it's fancier and purer-tasting than other kinds of water, so even if it IS ~$1 instead of $1.99, it's still most likely a really big profit margin because....it's just filtered water.
This is one of the idiosyncratic stupidities of capitalism: common sense says that the smaller volume of soda should cost LESS than $.99, because it takes less of the ingredients to make, but capitalism flips the prices around, because that allows them to milk more money out of the people who drink Coke.
But here's why this picture REALLY bugs me: Ron Paul is one of the staunchest defenders of free-market capitalism, and one of the biggest opponents of new regulations in the corporate world that would mitigate some of its greed and introduce some safety and/or common sense. That's what Ron Paul is KNOWN for: "The big bad gummint is ALWAYS wrong, and huge, profit-obsessed corporations are ALWAYS right!". (Coke prices are obviously too trivial to require regulation, but what about home loans, credit cards, medical supplies, oil/gas, baby supplies, and food?)
Which means that Ron Paul is almost literally the SINGLE worst person to be paired with the caption "explain this shit", unless someone is demanding that HE be the one to explain it.
at 1:54 AM