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
Beyond killer robots: China’s real AI threat to America is already here, experts warn
Former USPS worker indicted after allegedly dumping 300-plus Utah mail-in ballots without delivering one
Harris: ‘Attack on DEI’ is ‘attack on maternal care’ in el Sayed campaign stop
DOJ charges Utah USPS worker after 300 mail-in ballots allegedly tossed in dumpster
Two Ole Miss students found dead as packaged kratom is recovered at both sites: officials
Former Fox Producer Who Accused Prominent Anchor of Sexual Assault Found Dead at Age 36
Man scales locked gate in chilling video after allegedly chasing college student home, then walks free: police
Dem AG running for higher office dodges questions on bid to free man who killed pregnant woman
Trump Signs ‘Historic’ Deal Giving US ‘Complete Ability to Do What It Deems Is Necessary in Greenland’
Spanberger’s data center plan on collision course with her party’s green energy push, critics warn
King of Jordan and president of Turkey praise Trump, slam Israel for Gaza war
Bill Clinton criticizes Trump’s Kennedy Center renaming battle: ‘It’s hard to make up’
Breaking: Vance’s Task Force Purges 760,000 Names from Obamacare Rolls After Uncovering Rampant Fraud
Trump-backed Senate candidate says ‘Groceries cost too much,’ calls for Iran war to ‘end quickly’
Insiders Say Sports Gambling Giant Specifically Targets Bettors Most Likely to Be Addicts Who Lose
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.
