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
Trump says US, Israel shattered Iranian military capabilities, presses leaders to surrender: ‘Cry uncle’
Armed Officers Rushed Onboard Flight Forced to Land with Guns Drawn After ‘Security Scare’
Flashback: 11 Years Ago Marco Rubio Correctly Predicted How Obama’s Iran Move Would Backfire
Iran still striking Gulf States despite president’s promise not to: Report
Trump tells Starmer aircraft carriers no longer needed in Mideast, accuses him of joining war US ‘already won’
Arizona governor vetoes Charlie Kirk memorial license plate sparking GOP outrage: ‘This bill falls short’
NYC Mayor Mamdani’s wife liked social media post calling Oct 7 sexual violence investigation a ‘hoax’: report
Noem thanks Trump for new Shield of the Americas special envoy role after DHS ouster
Trump and first lady attend dignified transfer for 6 US troops killed in Kuwait
Supreme Court Will Hear Lawsuit Over Blaming Oil Companies for Climate Change
White House’s bombastic Iran war media blitz breaks from precedent, shocking critics
Farage slams British prime minister for ‘extraordinary’ lack of support for Trump’s Iran strikes
‘Smarter Than Most of You!’: Biden Launches Bizarre Defense of His Stuttering at Jesse Jackson Memorial Service
Brutal Numbers: Schools Spent $30 Billion on Laptops… and They Seem to Have Made Kids Dumber
Trump Warns ‘Loser of the Middle East’ Iran That ‘Complete Destruction and Certain Death’ Is Imminent
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.
