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
Dem Robert Garcia Explains Rationale Behind Weaponizing Government: ‘Maybe It’s Because I’m Gay’
‘Forget 2028’: Senate GOP braces for a long stretch in the minority
New Michigan Mayor’s Swearing-In Shows How Far State Has Fallen
House GOP leaders block Massie’s Hegseth impeachment push
Ilhan Omar huddles with her DC-based lawyers during her first day back on Capitol Hill amid federal probes
Opposition to Schumer leading Senate grows amid calls for a ‘new generation’ from Democrats
Iran-backed terror suspects plotted attack on US troops using vans packed with fuel, DOJ says
Breaking: House Republicans Elect New Leader to Replace Mike Johnson
Jim Jordan picked as next House GOP leader: Sound off!
Top Dem cries ‘weaponization’ as comments warning young people not to join Trump admin land her in hot water
Watch: Van Jones Revealed Low-Key Org Weapon Dems Used to Win Nov 3 – Hit up to 300 Million People Daily, GOP Never Uncovered
Habeas corpus cases near 100,000 as ICE detainees seize on new way to fight detention
Ex-Massachusetts police officer convicted of murdering pregnant woman in staged suicide
Sotomayor lets loose on conservative Supreme Court with revealing wish: ‘Crazy things’
Mamdani makes behind-the-scenes moves to shape 2028 Democratic presidential race
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.
