Friday, December 30, 2011

Verizon Proves That Markets Still Work

Yeah, you'd better hear me now!

Verizon Wireless recently agitated hordes of customers by announcing plans to impose a $2.00 fee for single online or telephone payments.

Well, the thousands of customer complaints Verizon likely received has compelled the company to disconnect this fee plan.

This is an example of free-market capitalism at its finest. A company made a decision its customers didn't like; its customers expressed their outrage; and the company backed off. After all, Verizon bases its business on a series of voluntary transactions with its customers, and since those customers can switch providers with relative ease, Verizon needed to listen to them.

No government strong man was necessary to coerce Verizon's actions; it acted in its own interest, which happens to be satisfying its customers.

The article reporting on this story also reminds us that Bank of America customers pressured it into dropping plans to impose a $5.00 monthly debit card fee.

Long live the markets.

Ryan T. Darby practices law in San Diego. He happens to be an AT&T customer, but he's happy for all his Verizon friends, including his mom.

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