CEI Daily Update
Issues in the News
1. TECHNOLOGY
The purchase of Internet advertising firm DoubleClick by Google raises privacy concerns.
CEI Expert Available to Comment: Vice President for Policy Wayne Crews on why consumers need not fear Google’s market power:
“In a highly contestable and dynamic market such as Internet advertising, any market-dominant position would be short lived. With high profits and low barriers to entry, many competitors would spring up to counter Google. If Standard Oil’s monopoly power could be dissipated because of competitive forces before 1911, what hope is there for Google to maintain a monopoly?.”
2. HEALTH
A coalition of medical experts urges pregnant women and nursing mothers to include more fish and seafood in their diet, contradicting previous advice from the Food and Drug Administration.
CEI Expert Available to Comment: Study author Sandy Szwarc on the unnecessary health worries about mercury in fish:
“…there is no proof the amount of methylmercury in fish Americans eat is dangerous. Despite advisories from the government for pregnant women and children to limit consumption of fish to prevent damage to children’s developing nervous systems, the only cases in the scientific literature of mercury poisoning and subsequent neurological problems from fish were due to an industrial mercury spill in Japan in the 1950s. These resulted in methylmercury levels in fish 40 to 1,000 times higher than those consumed by Americans.”
3. BUSINESS
Labor unions target publicly-traded companies with headline-seeking “corporate campaigns.”
CEI Expert Available to Comment: Editorial Director Ivan Osorio on how companies are responding to regulatory and union pressure:
“To avoid burdensome government regulation, [U.S. companies] are deciding not to list their shares on American stock exchanges—a trend that is leading to more stock listings in overseas financial centers like London and Hong Kong. In some cases, companies have even de-listed their stock shares in the U.S. This has created great asset shopping opportunities for private equity firms, which are buying up publicly owned companies. Because they do not trade publicly, private equity firms are not directly exposed to the kinds of shareholder pressure that publicly traded companies face. However, organized labor isn’t about to sit idly by and let this development continue unchecked. Union officials understand that they must adapt to a new investment environment and they are looking for bold new ways to meet the challenge of private equity.”
Blog feature: For more news and analysis, updated throughout the day, visit CEI’s blog, Open Market.
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