Regarding these Arab uprisings: Don't get your hopes up

The unrest in the Arab Middle East underscores the superiority of Israel and why that small nation deserves the full support of the United States.

While angry citizens in Tunisia, Egypt, Libya, Syria, Saudi Arabia, Yemen, Iran, Jordan and Morocco rise up against a panoply or dictators and “kings,” Israel has been peacefully changing governments through the democratic process for some six decades.

Israel is an island of civilized modernity surrounded by a sea of stone age tribal territories.

Certainly there are a lot of hard working Arabs who live in these unstable countries who want better lives for themselves and greater freedoms. Many have immigrated to the United States and have become valued and productive members of our society. However, as we saw in Iran, hardline Islamists rush in to fill the power vacuum when the local Arab strongman gets pushed aside, and they play the game for keeps.

Through many Democratic and Republican administrations the United States has pledged to stand on the side of democracy. Our loyalty to Israel will test this commitment.

Today there is no reason to suspect that a so-called Palestinian state will be anything other than a repressive regime controlled by Islamists. When the United States pushes Israel to make concessions to the Palestinians we weaken the only true democracy in the area and pave the way for the establishment of another Iran or Syria. Such a state will do everything it can to destroy Israel and repress its own people if they dare to question the ruling class.

By fomenting hatred toward Jews and Israel, these repressive regimes remove the focus from themselves. Blaming all the ills of the world on the “Jews” takes the pressure off their backward and corrupt political and economic systems. It’s an ancient tactic.

Further, I believe any hope we might allow ourselves that today’s “revolutions” in these countries will result in less repressive and more democratic counties is just a pipe dream. As Westerners we have an almost built in notion that a popular uprising will lead to progressive changes. We need to set that aside when we look at what is happening in the Arab Middle East.

In many ways Arabic nations were more progressive and ready to engage the world in a positive way a thousand years ago than they are today. Earlier this year Jack Donaghy on “30 Rock” quipped that since the invention of democracy, Greece has been “coasting.”

Since they exported Hindu-Arabic numerals to Europe in the 10th century, you could say the same thing for the Arab world.

Huge corporations: My best friends

It seems to me that people who are critical of our economic system believe to a large extent that producers have an unfair advantage over consumers. They think that corporations—a word that critics of free enterprise do everything they can to sully—essentially hold all the cards.

Sometimes it might appear that way, but when you start to assemble a list of large companies that have gone out of business you realize that consumers do, ultimately, wield sufficient power to balance the equation.

Consider Blockbuster. Okay, technically it’s not out of business yet, but when you roam the corridors of corporate America shouting, “Bring out your dead,” Blockbuster is definitely going to get tossed into your cart.

At one time Blockbuster seemed to dictate what we would pay for video rentals. Remember all the late fees? Eventually consumers moved on to more appealing video delivery companies.

There is a natural ebb and flow in the economic contracts between consumers and suppliers. There are times when producers seem to have the upper hand. Corporations can charge a hefty price for their products when they make an innovation that gives them clear superiority over their competitors. We see this especially in technology and pharmaceuticals.

However, the competition soon catches up and then more power goes to consumers who can be picky about price points and various competitive features between products.

My first computer was a Commodore VIC-20. This little machine was the world’s first computer to sell over one million units. Despite this, the company is defunct today. Consumers walked away from it.

That little computer by the way, cost $300 when it was introduced in 1980. That would be about $850 today. This was a computer that had less than 20 kilobytes of memory. Yes, 20K. Consider the computer that $850 would buy today.

A critic might say that computers are more powerful and relatively less expensive today because of technological innovations. This is, of course, true. But, run the entire scenario through your mind. How long could producers get away with making and selling a computer with 20K memory for $300. Not very long. (The Soviets tried producing consumer goods using that tactic and you can see where it got them.)

In other words, consumer demand for those low power computers dried up. Consumers wanted more for their money. This is what drives innovation.

I’m old enough to remember when Pan Am was “the” international airline to fly. I suppose that most people today only know the corporation for the small appearance it makes in the Leonardo DiCaprio movie, “Catch Me If You Can.” It seemingly controlled international air travel.

Today, it’s a very interesting chapter in commercial airline history.

Maybe the best example of consumer power involves the Coca-Cola company. Can you imagine a more powerful global corporation than Coca-Cola? I don’t think so, yet all its corporate muscle couldn’t sell consumers on “New Coke.” The company took a major bath on that product.

If you still think that corporations are all powerful, I suggest you go start your own corporation and see how far you get trying to manipulate consumers. Oh, but you say that you’re talking about big corporations, not little startups.

Okay fine, but try to get big by ignoring consumer demand. Then, once you are big, try to stay that way by ignoring consumer demand.

So far that strategy hasn’t worked so well for AOL, Newsweek, Hummer or Woolworth’s.