This morning, Democratic presidential candidate and Vermont Sen. Bernie Sanders (I) tweeted out his support for efforts to unionize the video game industry. He did so in a fashion truly appropriate for the man—one that made it clear that he doesn’t always grasp basic economics:
The video game industry made $43 billion in revenue last year. The workers responsible for that profit deserve to collectively bargain as part of a union. I'm glad to see unions like @IATSE and the broader @GameWorkers movement organizing such workers. https://t.co/Ia5gMG2v0w
— Bernie Sanders (@BernieSanders) June 18, 2019
Rubio’s next move? Lawyers eye speech of ‘visionary’ leader for 2028 clues after GOP’s midterm wipeout
Tough Guy Viciously Attacks Family Over Christian Tract in Halloween Candy, Then Becomes Total Coward When Internet Tracks Him Down
Huge GOP election losses spur debates about populist economics
Jeffries shredded over Hegseth impeachment snafu as Dem jockeys for speaker’s gavel
Three-quarters of House members seeking statewide office lost
In Haiti, Bukele cracks down where UN failed
Pence leaves door open to 2028 White House run, issues stark warning to GOP after midterm disaster
Couple accused of killing registered sex offender in pre-planned stabbing in Arizona desert
Newsom reveals when he’ll decide on 2028 White House bid amid growing speculation
DHS touts highest ICE deportations in history, as Mullin says agency has been ‘unleashed’
Dan Patrick concedes Texas ‘turned purple’ after Democrats’ historic blue wave
Van Hollen challenges Schumer for Senate leadership after Democratic election sweep
‘They Still Do That?’: Watch Greta Thunberg Laugh Hysterically at Climate Activists She Ditched for Gaza
Texas man executed for beheading 3 children: ‘Going to be with my kids’
Sick Tattoos, Raised in Mosques – Man Accused of Murdering NYC Jogger Was Reported Multiple Times, but Left in Place Over Racism Fears
In the tweet, Sanders confuses “revenue” with “profit.” This is not an insignificant mistake, but it’s one that is common in reporting about large American corporations. All too often, reporters talk about how much money a company takes in without offering any analysis of that company’s expenses. Amazon, for example, despite massive revenues has only recently begun making an actual profit. In the Time story that Sanders links to, writer Alana Semuels similarly fails to differentiate between revenue and profit when covering the efforts to organize.
It’s true that the game industry did bring in $42 billion in revenue last year from customers in the United States (and nearly $140 billion worldwide). But revenue is the money a company brings in before deducting its expenses, like, for example, workers’ wages. So, in reality, video game industry workers did get a cut of those billions. It’s only after such workers are paid (and other expenses are deducted) that we can talk about profit.
Sanders, of course, has a long history of failing to grasp the basics of market economics. He frequently sees marketplace choices as a threat, even as they open avenues and opportunities for our poorest citizens or provide all of us with ever improving mass entertainment.
Story cited here.
