People who read Steve Sailer’s blog know that Carlos Slim is the world’s richest man. Steve writes about him a lot.
Carlos Slim has gotten rich by applying Porter’s Five Forces to his business. By owning 90% of the Mexican telephone market, his company can charge very high prices and keep the profits. Barriers to entry (whatever they may be) prevent competitors from undercutting his prices.
Does anyone really think that Carlos Slim has created $60 billion of value? I think that he transferred the value from others to himself.
In the recent debate about taxes, conservative types insisted that it is necessary to allow the rich to keep their money so that jobs can be created. This theory has obviously not worked in Mexico—otherwise millions of Mexicans wouldn’t have immigrated to the United States.