Testing, Testing, 1, 2, 3 …

Economy |
By Christine Harbin | Read Time 2 minutes

While spending the week at a seminar sponsored by the Foundation for Economic Education, I’ve repeatedly noticed the presenters tripping over a wired microphone. With some help from the Google machine, I learned that this is because the Federal Communications Commission recently placed a ban on wireless microphones that use the 700 megahertz band. The space will be reserved for the use of emergency responders.

Although this ban may provide some social benefits in terms of improving emergency services, these should be weighed against the increased marginal costs of doing business — costs that are inevitably imposed on others.

This ban will negatively affect the organizations that use such microphones in their operations — businesses, theaters, churches, schools, news stations, etc. Organizations that have already made a capital investment in wireless microphones will have to spend additional money to replace them. This is money that they could have invested in other areas of their business, or kept as profit. Furthermore, manufacturers of wireless microphones will have to close or produce a different product, not for lack of consumer demand, but because of government mandate.

If this ban means that I can’t play Beatles Rock Band on my Nintendo Wii because the signal for my wireless guitars is blocked, then I will be inconsolable.

About the Author

Christine Harbin Christine Harbin, a native of Wisconsin, joined the Show-Me Institute as a research analyst in July 2009. She worked as a policy analyst at the Show-Me Institute until her departure in early 2011. She holds undergraduate degrees in economics, mathematics, and French from the University of WisconsinMadison, and an MBA with an emphasis in operations management from the University of WisconsinEau Claire. She interned with the National Economic Council at the White House in Washington, D.C., during spring 2007. Prior to joining the Show-Me Institute, she worked as an advance planning analyst for hospitals and health care systems.

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