Heartland Institute Quotes ACI on Municipal Broadband Failures

Internet Public Policy Issues - The American Consumer Institute

Repeating History —

Steve Pociask, president of the American Consumer Institute, says taxpayer-funded Internet service leads to higher tax bills.

“I think the thing that consumers need to know, is that when you look at all the empirical evidence, time and time again the public provision of private goods such as broadband services seems to lead to unprofitable operations,” Pociask said. “When that happens, that means they push to recover the losses to taxpayers or other public services. As some examples, you’ll see fees attached to your water or your electricity or other municipal fees or to bonds. So, rarely are these things even close to profitable.”

Unsatisfied Consumers —

Pociask says meeting consumers’ demands just isn’t in the government’s “code.”

“When you look at it, these companies lack the incentive to maximize revenues and satisfy consumers,” Pociask said. “Just go to the state DMV and see how long the lines are.”

This excerpt was taken from Heartland Institutes news report and is available online in its entirety.

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