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- Path: sparky!uunet!gatech!gatech!kd4nc!ke4zv!gary
- From: gary@ke4zv.uucp (Gary Coffman)
- Newsgroups: talk.environment
- Subject: Re: Junk mail
- Message-ID: <1992Jul25.080330.11143@ke4zv.uucp>
- Date: 25 Jul 92 08:03:30 GMT
- References: <92202.095927MEK104@psuvm.psu.edu> <TSF.92Jul20143225@U.ERGO.CS.CMU.EDU>
- Reply-To: gary@ke4zv.UUCP (Gary Coffman)
- Organization: Gannett Technologies Group
- Lines: 37
-
- In article <TSF.92Jul20143225@U.ERGO.CS.CMU.EDU> tsf@CS.CMU.EDU (Timothy Freeman) writes:
- >In article <92202.095927MEK104@psuvm.psu.edu> <MEK104@psuvm.psu.edu> writes:
- > I suspect that the smaller firms are the
- > ones who benefit most from this program, thus competition is stimulated as
- > well.
- >
- >No. The subsidy is n cents per item of junk mail. Each business
- >benefits in proportion to the amount of mail it generates. Big
- >businesses generate more mail, thus the benefit they receive has a
- >greater dollar value.
- >
- >I haven't any idea where your suspicion came from. "Benefiting
- >smaller firms" and "stimulating competition" are very different
- >things. Competition is where a businesses' success depends on what it
- >does, not upon its size or upon other irrelevant factors.
-
- You misunderstand. A small business has fewer cents to spend on advertising
- than a large company. By subsidizing junk mail, the government allows the
- small company to advertise in a way it could not if it had to pay the full
- cost. Large companies can afford to advertise any way they like. Advertising
- is a proven method of increasing sales. By allowing the small company to
- play in the same league as the large company, junk mail increases the
- competition in the marketplace. Competition is generally viewed as being
- good for the public because it fosters lower prices and higher quality.
- Therefore, government subsidy of junk mail increases the public good.
- Whether it's the most cost effective method of doing so is another
- question. We in radio and television like to say it is not. Our cost
- per thousand is lower than even junk mail. Of course we can't offer the
- small business a government subsidized rate.
-
- Gary
- >--
- >Tim Freeman <tsf@cs.cmu.edu>
- >When they took the fourth amendment, I was silent because I don't deal drugs.
- >When they took the sixth amendment, I kept quiet because I know I'm innocent.
- >When they took the second amendment, I said nothing because I don't own a gun.
- >Now they've come for the first amendment, and I can't say anything at all.
-