Peter Schiff, Chief Economist and Global Strategist at Euro Pacific Capital, criticized antitrust laws at a time when the U.S. Justice Department accused Alphabet Inc's GOOGL GOOG Google of abusing its dominance in digital advertising.
What Happened: According to a report by the government, Google should be forced to sell its ad manager suite because it used anticompetitive, exclusionary, and unlawful means to eliminate or severely diminish its dominance over digital advertising technologies. Google is accused of being sued for antitrust violations. Antitrust laws undermine productivity and punish consumers with higher prices. Consumers need protection from government and its monopoly on force, not private companies that depend on voluntary patronage, according to Schiff.
Google's advertising business brings in about 80% of its revenue. The tech giant said that the government was doubling down on a flawed argument that would slow innovation, raise advertising fees and make it harder for thousands of small businesses and publishers to grow. Other Impact: Schiff, considered a Gold bull, highlighted the ill effects of taxation and inflation, while also pointing out the ill effects of overregulation.
Imagine how much money would be spent on goods and services if the government didn't rob us of our purchasing power with taxation and inflation to pay for all of its spending. The best thing government can do to help consumers is to reduce regulation and spending, he said.
The Treasury has to take some extraordinary measures because of the debt crisis that has made government spending in the spotlight.