A growing number of restaurants had to rely on DoorDash during the COVID-19 lockdowns in order to survive. It wasn’t an easy decision for most, as DoorDash’s fees took a hefty bite out of restaurant profits. Liberal politicians, eager to pacify outraged business owners, capped DoorDash fees to restaurants. However, they failed to realize the basic fact that DoorDash, like any other business, also has to turn a profit in order to remain viable. To this end, DoorDash has been passing the costs along to consumers in the form of a “Regulatory Response Fee”.
In some instances, the company has even named the fee after the city in question. For instance, the “Oakland Fee” in Oakland, California, required those who ordered food to pay an extra $2 per order. Not surprisingly, politicians who capped DoorDash’s fees in the first place had no idea what was going on until NBC news enlightened them.
The befuddlement makes it clear that liberal politicians who know little to nothing about economics and business would do best to stay out of the way and allow DoorDash and restaurants to work things out on their own. If DoorDash doesn’t lower fees, restaurants that were forced to use their services during the COVID-19 lockdowns will stop once indoor dining re-opens. By the same token, restaurants that need to provide large-scale delivery services but aren’t able or willing to hire their own delivery fleet can use DoorDash and other, similar services.
If the cost is passed down to the consumer, in the end, both businesses will lose out. Consumers will order out less frequently, or order less expensive foods. DoorDash and restaurant owners will realize this and make decisions that will, in the end, benefit their customer base.
A free economy is quite an amazing thing, and it tends to work best when politicians don’t get involved. Liberal Democrats are all too eager to tell people how to run a business, and the capped DoorDash fees are just the start. Raising the minimum wage to $15 an hour, for instance, could put 1.4 million people out of work by the year 2025. Democrats who saw how AB5 tanked the gig economy in California recently passed similar legislation in the House of Representatives.
Liberal politicians who decry “capitalism” and call for socialist laws should take a look at how things are working out for people who use DoorDash or similar services. Companies have to turn a profit in order to remain viable. If government regulations curtail their earnings in some way, companies will make up the difference by passing on costs to consumers, replacing employees with machinery, or simply shut down and move. In any instance, it will be regular people who lose out.
Government should just stick to taxing. Leave how to raise the money to pay the taxes to businesses.
No. Government should stick to making certain our freedoms are protected. The federal government has no need to collect taxes except to maintain the fiction that inflation is low.
The irony is that ALL taxes and fees levied by the government are paid for by the consumer. No way around it. It is not a zero sum game. The money has to come from somewhere. Our government needs to stop wasting so much of our tax dollars and allow people who earn the money, keep the money. Does anybody really believe that the government know how to spend that money in a better fashion than the people who actually earn it. The only money that the government has is forcefully taken from hard working taxpayers. They create no money. At best they can improve infrastructure, provide security and set policies in place that support the business community that actually creates the wealth.
What Biden is currently doing now is attacking the business community that will ultimately hurt us all. The above is a case in point.
Well said sir. And very true. Higher prices for less quality, with marxist shelves coming to us all, unfortunately. The same father of lies is still selling the same line, something for nothing when ye be gods….
(Terry) Higher prices for less quality.
(Dave) Higher prices for less quality … And less quantity.
Inflation is rearing it’s ugly head at every level. Especially for the middle and lower classes at the retail markets.
A quantity of Milk which was previously say $2.89 per gallon, will eventually rise to $3.89 per gallon. Or more.
America is now quickly on the pathway to energy dependence on OPEC and other middle east producers.
Meanwhile, thousands of XL Pipeline union jobs have been abolished.
Auto and Diesel Prices at the pump in Eastern US is at or above $3 and $4 per gallon respectively. It has probably gone closer to $4 and $5 as you go West.
they should not even taxed businesses : those are the engines that drive employment :
THEASSWAD. COMMIE SOCIALIST DEMONCRATS ARE CLUELESS AS TO HOW THE WORLD WORKS.! AS SLOW JOE BIDEN IS.!!
And shock of all shocks, raising minimum wages reduces job opportunities. Getting a liberal driven education also makes the front gate post a very competitive adversary.
Reparations have already been introduced as legislation and proposed as Local Government policy in Oakland,CA.
The legislature has proposed a bill which includes subsidies (reparations) to black farmers.
The Oakland city leaders have proposed paying a standing wage to “People of Color.” White supremacist’s need not apply.
Wait until AOC and her merry band of miscreants adopt legislation to force us into “Re-orientation” training. We are already under the ugly cover of this in our business world. It’s known as CRT .. Critical Race Theory.
Joe Biden seems to be the epitome of this kind of thinking. I’m in awe of the all stupidity coming from these people!
Karl Marx did not understand economics. Why would any one expect his modern day comrades would do any better?
Liberals are not so stupid that they are ignorant of the outcome. All of their new laws and moves to kill businesses and cause job losses for millions of Americans is ON PURPOSE. They want everyone to be dependent on gov’t. The flood of illegal immigrants is purposeful to cause chaos and to kill our economy. They know what they are doing!
Democrats are out to destroy America’s freedom and rights. Big companies greed is just disgusting. Their money is all they care about. They are all socialist who lie about capitalism. They love it but they don’t want the American people to have. They want total control of your life. When will the sheep realize that? Stupidity has become a new way of life for a lot of Americans. Are you really that stupid or just lazy?
It’s communism and socialism to have the people dependent on the government for basic needs such as health, housing and food. They think that the people don’t need luxuries and free time for vacations and relaxation to enjoy life but only for themselves. So if you are a moron vote for democrat party candidates but then again they will steal your freedom to vote as the most recent presidential election.
The pot is starting to boil