The observation is dead on correct, but not the reasoning. “Capitalism” — when free from rent seeking corporate lobbies and overbearing government bureaucracies — produces an abundance until the price points no longer support production. Rent-seeking corporatism seeks to erect barriers to entry, protecting the incumbents from competition. This is what drives prices for things like health care up. And education? When an investment bank can borrow from the Fed at 1% and then buy into student loan ABSs yielding 4–6%, with the note not dischargeable in bankruptcy and guaranteed by the tax payer, a monetary bazooka is fired into higher ed, driving prices up. It is pure corporatism — or “crony capitalism” if you like.

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I am a charter member of the pocket-protector set, but old enough to make fun of them and otherwise have a healthy skepticism of tech.

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