Welcome to You’re Probably Getting Screwed, a weekly newsletter and video series from J.D. Scholten and Justin Stofferahn about the Second Gilded Age and the ways economic concentration is putting politics and profits over working people.
In a Presidential Election year, we hear about polls all the time. There was an important poll that came out yesterday and it has nothing to do with battleground states.
A new Navigator poll came out about the American Dream, which the poll had Americans define it as being able to live comfortably, afford a home and enjoy work.
The big takeaway of the poll is that three in five Americans believe the “American Dream" was once true but isn't anymore; only one in four believe that if you work hard in the United States, you'll get ahead.
This poll is part of the reason why we do this newsletter every week. The cards are stacked against most Americans and people feel it.
Just look at our food system. The Farmers Union points out the price of a Fourth of July cookout is $41.83 but the farmer share is only $5.32. A good chunk of the money we spend these days isn’t staying in the local community.
Meanwhile, you have multinational corporations bragging about record profits. Our economy squeezes farmers, suppresses workers and jacks up the prices on consumers.
But it doesn’t have to be that way. We can have an economy that works for everyone.
That’s why I am an Anti-Monopolist. I want the next generation to believe in the American Dream!
YOU’RE PROBABLY (ALSO) GETTING SCREWED BY:
Multinational Corporations Laying Off Workers and Shipping Jobs Overseas
In case you need to translate John Deere’s PR quote, “evolve its business model, address rising manufacturing costs, and improve operational efficiencies” means laying off American workers and shipping jobs overseas.
Big Ag
Middlemen in our food system are gouging you as a consumer while also squeezing farmers. National Farmers Union has estimated the farmer’s share of a 4th of July cookout and it underscores why we are losing family farmers.
Middlemen
Going to a car dealership was already a frustrating process for many Americans, but if you have visited one recently the dealership might have been unable to actually sell you a car. This is because the company, CDK Global, that controls most dealer management software was hit with a ransomware attack. The ordeal is similar to the attack that brought down Change Healthcare and crippled local pharmacies. In a recent piece, David Dayen at The American Prospect looked at the middleman economy.
“The common thread here is an economy of middlemen, a group of linkers, connectors, and bridgers that offer little in value (or in these cases actively detract from it) and much in opportunity for skimming and causing prices to rise.”
Pharma Patents
The US system of patent protection is meant to encourage innovation and competition, but the system has been distorted by corporations to block competition and raise prices. FTC Chair Lina Khan and Illinois Senator Dick Durbin co-wrote about the issue and their piece was accompanied by the below video.
Hospital Monopolies
Last week Justin wrote about hospital monopolies and this week it was reported that one of the most powerful, The University of Pennsylvania Medical Center, spent millions leasing a private jet to take trips around the globe just months before laying off over 1,000 people.
Some Good News
Jury sides with football fans
In my last piece I told you to keep an eye on an important antitrust lawsuit against the National Football League and the following week the NFL was found guilty of violating antitrust laws, which will mean big changes for fans.
Repair Independence Day
Monday was “Repair Independence Day” celebrating that right to repair laws were going into effect in two state (Minnesota and California). While the laws include some unfortunate carveouts, such as farm equipment, this represents a big step in breaking up the tech monopolies that want to control the stuff you own.
FTC Cracking Down on Vertical Integration
The FTC under the leadership of Lina Khan continues to make huge strides in reinvigorating our antitrust laws. This week the FTC vote unanimously (remember the commission has bipartisan representation) to challenge a vertical merger in the mattress industry, which is a big deal for reasons that span well beyond that particular industry.
BEFORE YOU GO
Before you go, I need two things from you: 1) if you like something, please share it on social media or the next time you have coffee with a friend. 2) Ideas, if you have any ideas for future newsletter content please comment below. Thank you.
Standing Tall for All,
J.D. Scholten