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TheNoNamedOne
08-29-2007, 06:57 PM
What do you think about governments using tax funds to build community centers? I am against them simply because I think they depress businesses from starting in the private sector that could meet those needs if a strong enough demand for them made itself known.

To use a hypothetical case as an example:

John, having previously earned a license as a personal trainer, has srimped and scrounged to open up a weight lifting training gym. He would like to do so in his neighborhood because he really doesn't have the extra funds to purchase a car. Also being from that neighborhood he senses a need within that local market for just that. He does not have the recourses to marketing research to learn about other market locations.

John takes the plunge. Finds a good building, forks out the money for the equipment and several months rent and advertises. He fixes his membership reasonably so that most in that neighborhood willing to pay a fair price could afford it and still give him a modest profit.

However, a month later the city decides to open a state of the art community center with swimming pool, a tennis court, racket ball court, basket ball court, and weight room. And to boot, make it free, or just charge a dollar for each time it is used by any local resident.

Basically, John can't compete. His business fails. Private enterprise loses and a small victory is gained for socialism.

Do you support and want local city governments to delve into providing services such as community centers? Good or bad for private enterprise?