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Blue Model Devours Italian Innovation
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  • D4x

    Is the motivation in Italy really to ‘make ends meet’? ‘Social home dining’ is a great idea for those who love to cook, and visitors who love to eat, especially for tourists travelling alone. Both get to share what should be a communal experience. If you think bowling alone is unhealthy, there is not much worse than cooking, and eating alone…

    https://www.eatwith.com/

    Apologies for not wanting to get past the WSJ paywall to find out if they mention this. Eating at someone’s dinner table is different than Uber or Airbnb.

    • Andrew Allison

      I suspect that it is a combination of making ends meet and (assuming that there is any entrepreneurial spirit left in stagnant Italy) an entrepreneurial opportunity. There are three kinds of home dining, all of which are available in our (CA) neck of the woods: that described (in which my wife and I occasionally indulge); a chef coming to your kitchen, and home delivery of meals. Restaurateurs are, unfortunately, just one more victim of the Blue economy, and it will only get worse as the minimum wage madness spreads.

  • Anthony

    Is it Blue Model behavior (rather than Framing) or is it another example of interested “rent seeking” – rent seeking takes many forms (obviously according to Post, even in Italy) hidden and open.

    • LarryD

      There is a lot of overlap between the Blue Model and rent seeking. “Rent seeking” is a term economists use to refer to a attempts to obtain benefits through public policy, using law to suppress competition is one form see http://www.econlib.org/library/Enc/RentSeeking.html

      Since the Blue Model is a big government model, it offers a target rich environment for rent seeking.

      • Anthony

        The Blue Model is a framing phrase WRM uses in place of Fordist description he used years ago in one of his books (the title slips my mind). Now, others have conveniently appropriated phrase to influence perception.

        Rent seeking (yes an economics term) takes many forms: hidden and open transfers and subsidies from the government, laws that make the marketplace less competitive, lax enforcement of existing competition laws, and statues that allow corporations to take advantage of others or to pass costs on to the rest of society. Actually, the term rent comes from the description of the return to land. Rent seeking targets any and all governing/economic models.

  • Andrew Allison

    “They are right when they say that sclerotic bureaucracies, crushing regulations and unrealistic tax burdens have pushed them to the wall.” is exactly right. It should be noted that, at least in California, the same thing is happening. The sales tax increase taking effect April 1, together with 1% city taxes in my area bring the sales tax to 8.75% — worse yet, if the restaurant includes a service charge in the total, you pay tax on that too.

    • Proverbs1618

      That is what the voters of CA want. they should get it. We are way past the point of no return. So buy insurance. It may get bumpy.

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