License Scams
Getting a license these days to sell something is difficult.
A hundred years or so ago, if you wanted to sell something, you just sold it.
An interesting problem from game theory is why it’s illegal to advertise cigarettes on TV.
Why No Cigarette Ads?
Most people assume that this is the government protecting us from the evil tobacco companies, but that’s not true.
One of the clever ways the Catholic Church was absorbed into the Roman Empire was by re-branding pagan rituals.
Today we think of Christmas as Jesus’ birthday.
And Easter as when he rose from the dead.
Pagans Predate Jesus
But before Jesus is, they were.
Once their was a skilled magician who also a skilled occultist.
He had mastered plenty of the dark arts, but his main interest was making money.
He didn’t particularly enjoy causing emotional agony, or eating people’s souls.
Follow The Money
He was on old school capitalist who didn’t mind cutting a few corners.
He always followed the law, and would travel around as a street magician.
He would always get the proper permits
He used a strategy common in casinos.
Where they strategically place high payout slot machines in strategic locations.
Get A Big Crowd
To attract customers.
While he was doing his street magic, he would always scan and read the minds of the onlookers.
He would select the most extroverted and outgoing as his first mark.
These people always win money.
And they wouldn’t be shy about expressing their happiness.
This would attract more people.
Find The Ideal Mark
This was the second part of the con.
He would let some people win, some people lose, while the crowd kept growing.
The bigger the crowd got, the more likely he would find his actual mark.
Somebody that was easy to manipulate.
Somebody that had a lot of emotional vulnerabilities to exploit.
Money Man
Somebody that was very, very wealthy.
Once he found such a mark, he would pass on this person’s information to his colleagues.
His colleagues would then use this information to set up a scam and take him for a few million.
He and his colleagues never got caught.
Because his marks never knew they were being scammed.
Best Scammers Are Invisible
This is when you know you are being scammed by an expert.
When you have no idea you are being scammed.
Christmas near the winter solstice.
Up until that point, nights would get longer and longer.
But after the winter solstice, the days would begin getting longer.
The nights shorter.
The Birth of The Sun
Or the birth of the sun.
Easter was at the end of winter.
A spring festival.
With a lot of symbols of fertility.
Bright colors, eggs, and rabbits.
Back From The Dead
Kind of like life finally rising from the dead.
Like Jesus coming out of the tomb after three days.
When TV was invented, there were two tobacco companies.
Both had equal market share.
So TV advertising presented a problem.
Secret Deal Between Cig Companies
If neither advertised, they wouldn’t spend any more money, and they wouldn’t get any more market share.
If they both advertised, they would both spend more money and wouldn’t get any more market share.
In business, it’s never a good idea to increase spending without getting any benefits.
So they did the logical thing.
They lobbied the government to make it illegal to advertise on TV for tobacco.
Always About The Money
This was in their own best interests.
Any time you want to sell something, you need a license.
But the people who are the ones who grant the licenses are always the ones who are already making money in that area.
Kill The Competition
So if you have an idea from a business, you need to get permission from your competition.
Which never wants any more competitors in the market.
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