Wednesday, March 30, 2011

Get yer drink on...yahoo!


Utah Division of Alcohol Beverage Control is a prime example of letting the inmates run the asylum.

During the last session of congress (Utah), which is actually shorter than, oh let’s say, a teachers school session (another debate for another time), the Utah congress told DABC to cut 2.2 million from its budget. Doesn't seem too crazy, we all have had to cut a little here and there. This is a little different though. All profits from DABC go into Utah's public school system. So you could say that what DABC does NOT bring in is what Utah schools do NOT get in funding. Hmmm. That doesn't make much sense. But, let’s continue....

The DABC decided it would be best to eliminate some outlets. Hmmm, ok, but when you are the only one selling a VERY popular item, why would you stop selling it? Wouldn't it simply make more sense to increase the cost for patrons slightly to offset the 2.2 million shortfalls? That's what any good monopoly would do. Actually, a smart monopoly would raise prices astronomically. Look at gas prices. You need to hit that threshold of cost/value. What are we willing to pay to maximize profit for the monopoly? As a monopoly, the DABC is pretty frackin' stupid.... but there's more.

So, the DABC decides to limit itself to the number of outlets it will sell its wares. They compiled a list of outlets they would like to close and the combined profit of these several stores equals 10 million. What What???? To save 2.2 million, you are going to eliminate 10 million. Who the fuck is doing the math? Maybe I just don't understand business, but I don't think cutting off your nose to spite your face is such a good idea. Utah isn't the only state with a monopoly on alcohol; Washington State has the same system. Difference in the two is as follows: Each Utah DABC store serves a population of 17,000; Washington stores serve a population less than 2,000. Talk about being stingy and controlling.

Ok. Ok. I'm off the ledge now. This really goes to show that there seems to be some other driving factor behind the DABC's push to close outlet stores. I'm not saying what it is but will let you come up with your own conclusions. Sad thing is this, the children in the public school systems of Utah are the ones who are getting the axe. More proof that the state legislature doesn't value education. Education is key to freedom, without an education, you remain a slave to those over you.

Way to go UTAH!

1 comment:

  1. Maybe they should all have. Drink so they can think more clearly...... ;)

    ReplyDelete