Mark Cuban’s Soapbox: A Response.

This is a response to a Facebook Note by Mark Cuban. It seems to me that Mark is suggesting things to close the market furthermore and move towards even more central planning. It is cute for him to suggest such measures, as a billionaire he would never be negatively affected by them like people like me. In fact, if he is really smart, he is suggesting these actions as a way to limit his competition because  his massive ego could not deal with someone superseding his moderate success.

I may not know it all, but I know that elitists, intellectuals and those like Mark Cuban do not have the answers, the market always does. There are three categories that celebrity entrepreneurs, celebrities and business people fall into when they open their big mouths and make public statements about politicians, politics and economics.

1. They recognize their hard work sacrifice, realize that the market it made it possible for them to become successful and want it free for all to come and succeed or fail with.
2. They think their success was wholly due to their massive intellect, which intern suggests that they need to be making the rules for the less intellectually capable.
3. They think they have amazing luck, not realizing the market promoted them to their status feel guilty that they struck it rich therefore want everyone else to have their wealth stolen so they do not have to feel guilty. In a few cases they actually believe the government does something and give their dollars freely as charity.

The Great Lie of Wall Street

Perhaps it is not a lie. They are beyond their own self-interest, looking at the health of their company, longevity and bottom line. The 47 along with their best ally and friend Obama are not providing the most stable economic conditions, leading evil greedy Wall Street types to hoard cash.

Perhaps the most intellectually honest thing to say would be “We are here to make a profit, and after that we are here to make a bigger profit. Thirdly, we are concerned about shareholders.”

But what people like Cuban and the 47%ers really want is a massive shift in human nature.  Rather than being concerned about their own well-being, the 47%ers want successful people to be concerned about whining 47%. Do not get me wrong, they want companies to go about creating massive profits, but rather than then let those who created those profits decide how they will be spent, they feel that it is their right to determine how those dollars will be distributed.

The argument about government spending money on the unemployed is vastly circular, since no fare minded free market thinking would support it to start. So using that as the basis for an argument in support of increased regulation and taxation is utterly misguided.

Make All Financial Institutions Partnerships

Perhaps the hazard starts with the government requiring banks to create loans for those we all knew could not repay it, then having the government’s own banking and lending arms acquiring those loans as an investment instrument. It seems silly to be mad at the middle man, who by law was required to take the risk. But let’s not talk about the facts because that would make it less fun to riot in the streets. We are the 47%.

Limit Student Loans to $2,000 Per Year

Good idea. I think it is high time to put institutions of so-called “higher learning” in their place. I am not sure if you are suggesting the government come in an regulate this, but it would be the only way to make it happen. Banks control very little of student loans. The government controls the vast majority of loans since Obama became supreme chancellor. Why? Simple, it makes it easier for him to forgive the loans of his voting base. It is not a bribe though, even suggesting it makes you racist. Anyone who has ever needed a microloan will tell you they are hard to come by because the bank does not need to risk their capital for such a lousy return. Maybe Mark plans to offer the Mavericks up as a thug security force to make banks do this?

Mark Cuban has no understand of markets. The lack of loans did not make houses cheaper, the over production of homes due to cheap lending required by the government put to many expensive homes on the market. In an effort to dump bad debt, people/lenders sell them at cheap prices.

Mark, like many elitist snobs misses the point. If you want to make college cheap, you encourage students to drop out and those graduating high school to join the military, the work force, go to a trade school and start a business and work on the side.

Finally, students do not need a free pass, they need a reality check. In the face. Colleges do not make successful people, and they do not make a successful economy does. Mark Cuban, of all people, should have a grasp of this concept.

Tax the Hell Out of Wall Street; Give it to Main Street

When Cuban willingly and freely hands me the reigns to vast fortune and his corporate holdings, then we can talk about the ideas laid out here.