Archive for October 21st, 2009

Declaring war … on the U.S. Chamber of Commerce?

October 21, 2009

Ken’s Take: Unemployment — likely to be the 2010 election’s issue — is almost 10% and shows no sign of abating.  So what does Team Obama decide to do? Put the U.S. Chamber of Commerce — the most prominent representative of business — on its enemies list for failure to support some of the administration’s policies. 

Who, pray tell, does the administration think is ultimately going to do the hiring that’s going to get unemployment down?

My real life business friends tell me that they’re were already going to move slowly hiring people back because of “political risk” — the uncertainties re: higher taxes, increased healthcare burdens, and wage controls.  I’d think that hacking-off these folks  would just slow the hire-back process even more … keep unemployment levels high … and hang a political millstone around Dems necks next year,

We’ll see …

* * * * *

Excerted from: Politico, White House plan: Neuter the Chamber, October 19, 2009

The White House and congressional Democrats are working to marginalize the Chamber of Commerce — the powerful business lobby opposed to many of President Barack Obama’s first-year priorities.

Democrats in Congress have been angered by the Chamber’s attacks on the House climate change bill and its staunch opposition to the creation of a consumer financial protection agency, a centerpiece of the administration’s financial regulatory reform efforts.

Chamber officials say the White House is scapegoating the Chamber and other trade associations as a way of dividing the business community, a move that could help the administration make headway on health care reform, climate change legislation and regulatory reform.

“When they launch a frontal assault against free enterprise and the Chamber of Commerce, I can guarantee it is not lost on any trade association executives or staff in this town.”

Administration officials give significantly more attention to the Business Roundtable, an association of chief executive officers of leading U.S. companies.

And some Democrats in the House say they are … overlooking the national Chamber in favor of local organizations in their districts.

The Democrats’ assault on the Chamber is not without risk. While neutralizing the Chamber would amount to a major tactical victory for the administration, anything less could backfire — infuriating and energizing a well-funded foe with ties to business in virtually every community in the country.

Full article:
http://dyn.politico.com/printstory.cfm?uuid=6A5B11C3-18FE-70B2-A873536030768679

American Association of University Professors … it’s not an idea-swap group, it’s a union !

October 21, 2009

Ken’s Take: There’s just something about somebody with guaranteed lifetime employment unionizing that strikes me as inappropriate.  Many workers would give up their smoke breaks for a guaranteed job for life.

* * * * *

Excerpted from WSJ: Professors of the World, Unite,  Oct. 17, 2009

Wisconsin tests whether profs will be thinkers or unionists.

Over the past 10 years or so, unions have become an increasingly common presence at colleges and universities. More than 375,000 faculty and graduate students are members of a collective bargaining unit.

In 2008, the American Federation of Teachers announced a joint campaign with the American Association of University Professors to unionize more public universities.

If some professors at the University of Wisconsin at Madison get their way, the first thing a newly minted PhD will learn about is not research or teaching—but union dues. This summer Wisconsin’s Democratic Governor Jim Doyle gave the school’s professors the right to unionize.

If UW Madison goes, expect more academic “free-thinkers” to go over to the union mind set.

Full article:
http://online.wsj.com/article/SB10001424052970204409904574350834263887324.html?mod=djemEditorialPage

* * * * *

Would you be on Facebook if it wasn’t free?

October 21, 2009

TakeAway: Facebook has been massively successful enlisting posters … but far less successful making money. Which raises an obvious question: why not charge for the service?

* * * * *

Excerpted from Business Week: How Facebook Could Cash in on Its Upscale Fans, Oct 12, 2009

Nielsen says that 17% of the time people spend surfing the Internet is devoted to social sites, up 6% from a year earlier. No doubt, the quick and addictive status updates posted daily by users of Facebook and Twitter have something to do with the increase.

Facebook is the king of social networking. But the site is stuck with an old business model that may prevent it from turning the increasing affluence of its users into profits. Simply put: Facebook should charge, says BusinessWeek blogger Douglas MacMillan.

A recent study by Nielsen Claritas that divides 200,000-plus participants into three segments based on affluence showed that 25% of the top tier were more likely to use Facebook than the bottom tier. In the lowest segment, 37% were more likely to use MySpace.

Not only has Facebook won over many younger users of MySpace but it has introduced social networking to people in their 20s, 30s, 40s, and older. As the Nielsen Claritas study hints, these users have jobs and bank accounts, and might be willing to shell out a few bucks a month for an increasingly valuable tool.

Facebook has shot down the idea of charging all of its members. But the site may have plans to put a price tag on services, such as offering to print the millions of photos people upload to the site. It could also charge a nominal fee, like $1 per month, to let members avoid ads.

The company reports positive cash flow and talks up bold advertising initiatives. But is it building a business that taps the deep pockets of its users?

http://www.businessweek.com/magazine/content/09_41/c4150executive737881_page_3.htm
http://www.businessweek.com/the_thread/blogspotting/archives/2009/09/facebook_users.html

* * * * *