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
US Forces Shoot Down Iranian Missiles Targeting Gulf Neighbors
Erika Kirk Shows Incredible Poise, Class After Heckler Screams Vile Insult
At 82, Marilyn Burns is still defining the American small business dream
Finland’s NATO nerves: A country on Russia’s doorstep wonders about the alliance’s future
Australia Has Launched $1.4B Lawsuit Against 3M Citing “Forever Chemicals”
Spencer Pratt’s runner-up edge over Democrat Raman down to 1%, few thousand ballots
‘Don’t let me be the guy that’s not funny anymore’: Jeff Foxworthy opens up on his possibly final special
The World Is Learning Faster Than Ever: The Bible Said It Would
Unease and hostility meets defiant support as Maine residents grapple with Graham Platner allegations
Experimental Hepatitis B Drug Might Carry A “Functional Cure” For Specific Patients
Government Fraud Is Not a Victimless Crime
Daycare operator arrested after 3-year-old was left unconscious in pool for 20 minutes, died
Italy Strikes Sicilian Mafia Wealth, Seizing Gold, Villas and Cash
Maine GOP hopeful vying for Trump endorsement previously ran birthing clinics catering to migrant women
How Red and Blue America Can Stay Together by Pulling Apart
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.
