It’s pretty common to have car trouble. It’s very worrisome to have transmission problems, that can be an expensive fix. Our story begins after a used car has been purchased and the owner notices a loud clunking noise as the automatic transmission shifts from first to second gear.

Uh-Oh…..let’s go to a local shop.

At the first stop the shop owner says that he is convinced that the problem is with the solenoid. The solenoid is located inside the transmission and he says the replacement, out the door, would be about $500 and he is 99% sure that this will fix the problem, but offers no guarantees of success. He also says that it’s entirely possible (1% ?) that after the solenoid is replaced the transmission may still not work correctly.

The owner takes the car to a nationally franchised transmission shop. A number of high tech devices are plugged into the car computer and the shop manager tells me proudly afterwards what the problem IS NOT. Well-it’s not the engine mounts, its not the CV joint, it’s not the engine, and there is no indications of any problem other than the transmission.

The owner leaves disappointed after the shop manager tells him that he can take a look at it and the initial $595 could be wrapped into a “soft” overhaul for $2400 – but it could be a lot more – no guarantees! The owner leaves with the car and gets a phone call from the shop manager telling him that he spoke with the higher ups and could guarantee no more than a $2800 charge. The owner declines.

The owner remembered someone telling him about a “voodoo like” transmission guy. This guy could repair anything, and had very fair pricing. The owner called the voodoo doctor and drive 45 minutes to his shop. The doctor was older with unkempt hair and a gray beard, and a smiling twinkle in his eye. He brought out a software tablet and plugged it into the car computer system and while telling jokes and stories scrolled through multiple software tabs and screens. As he was doing this, he had a foot on the brake and was shifting from neutral to drive to reverse and sometimes hitting the gas a little. After 5 minutes he announced “let’s go for a drive” and he drove the car slow, fast, and also accelerating slow to fast. I could tell right away that things were much better! We drove back to the shop and he asked me to drive, he sat in the passenger seat with his computer tool plugged in under the dash. He wrote down numbers and changed things, talking to himself, he says “that should be better” several times during the ride. By the end of the ride I felt like I was in a new car! I asked him what I owed and he stuck out his hand in friendship and said “you owe me nothing-call me if you have further problems”. I felt like I hit the jackpot! Wow!

After getting out of the car he asked me where I had taken the vehicle before calling him, I told him the name and he laughed. He said that he worked for that company for a few years way back. He said that the shop managers didn’t know anything about cars, and the primary function of the shop manager is to sell transmissions. He also said that the mechanics were highly pressured to install 4 rebuilt transmissions per/day under threat of firing. That “business” said the doctor, has only a passing relationship with transmissions, satisfied 1st time customers, and fair pricing. The primary goal, utilizing whatever means are possible, is to maximize profits.

I want to put this story into a larger context. The current political battle raging around capitalism vs. socialism/communism. I have questions about the arguments I hear, read, and see on news programs, social media sites, and popular talk radio shows.

Questions:

Is “pure” (no governmental interference, incentives, regulations, taxation) a good thing for most of the citizens most of the time?

What would a “pure” capitalistic economy (as defined above) look like in practice? What would be some of the most defining features?

Does the US have a pure capitalistic economy? Why not?

What role does corruption play in capitalistic systems? Who benefits the most from corruption?

What role should regulation have in our economy? How about watchdog individuals and groups?

Does lobbying money play to big of a role in how legislation that benefits bigger companies?

How do you view the skilled, transparent, and honest transmission doctor compared to the shop manager at a large transmission franchise operation? Are both capitalists?

Does morality, ethics, or fair play have a role in how capitalism should work?

Is greed “good” ?