[9827] in Commercialization & Privatization of the Internet

home help back first fref pref prev next nref lref last post

re: bill text draft 2: Telecommunications Competition Act (fwd)

daemon@ATHENA.MIT.EDU (Russell Nelson)
Sat Jan 22 01:04:42 1994

Date:      Fri, 21 Jan 1994 23:37:49 EST
From: "Russell Nelson" <nelson@crynwr.com>
To: "Jeffrey Sterling" <jeffgs@netcom.com>
Cc: com-priv@psi.com

On Fri, 21 Jan 1994 12:43:57 -0800 (PST), "Jeffrey Sterling" <jeffgs@netcom.com> wrote:

> The Act provides guidelines for interconnection. It does not (1) set 
> rates (2) control CNAPs (3) roll over to special interests
> 
> Special interest pressures already control the legislative process, this 
> Act is an attempt to shine a little light on the subject and introduce a 
> paradigm that the public can understand.

I know you mean well, Jeffrey, but you know not the genie you awaken.
In a democratic society, a regulated industry tends to be controlled
by the industry itself (Look at the AMA).  Why?  Because the industry
has a far larger interest in the regulations than the individual
consumers.  For example, PSI has my credit card number, and they
charge me quarterly for my Internet access.  I only care four times a
year.  PSI, on the other hand, deals with networks constantly and so
has a very great interest in any laws that apply to them.

There is no possible governmental solution to this problem under a
democratic system. You can attempt to kludge your way around it
($1,000 limit on contributions to elected officials), but the problem
is its own incentive and tends to work around these kludges.

Now, having just said that, the problem remains.  The best way to
solve it is to form consumer unions.  A consumer union can negotiate
for the good kind of access you want.  It can resist being coopted
because no one is forcing you to join the union.  A coopted union
goes out of business because its customers go to another union.
Government solutions get coopted because the citizens do not have the
choice of leaving.

To paraphrase Bernstein and Woodward (or was it Woodward and
Bernstein?), "Follow the incentives."

-- 
-russ <nelson@crynwr.com>      ftp.msen.com:pub/vendor/crynwr/crynwr.wav
Crynwr Software   | Crynwr Software sells packet driver support.
11 Grant St.      | +1 315 268 1925 (9201 FAX)    | Quakers do it in the light
Potsdam, NY 13676 | LPF member - ask me about the harm software patents do.

home help back first fref pref prev next nref lref last post