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I don't know why you are getting downvoted because you're absolutely right. The first three markets named (airlines, telecommunications, health care) are all he

I don't know why you are getting downvoted because you're absolutely right. The first three markets named (airlines, telecommunications, health care) are all heavily regulated and the barrier to entries are controlled by the government, not natural market forces. Monopolies are not all bad. Sometimes a company has a monopoly because they just offer a better product (Amazon, Google) and they shouldn't be punished for that, especially when there's no government intervention that exists to protect them.

peacetreefrog 9y ago
Yeah, and it's debatable whether -- in these cases -- the monopolies would exist if it weren't for this regulation. The health care market is extremely distorted, and that's definitely true in the case of agriculture: http://www.nytimes.com/2013/07/20/business/richer-farmers-bigger-subsidies.html http://www.nytimes.com/2013/07/20/business/richer-farmers-bi...
backtoyoujim 9y ago
Amazon is a infested with scam storefronts. And Amazon is really compelled to do anything about it because they have no competition. Airlines have huge market barriers: getting and maintaining huge, expensive, gas guzzling aircraft. That is not a regulation barrier. Both telecomm and health care are intwined monopsonies backing the play of regional monopolies (cartels) backing federal congresspeople. I just don't buy any of your comment as fact at all.
- valuearb 9y ago
  Airlines have new entrants all the time. Sure it's costly to start a new airline, but not by the standards of available capital. But there are also lots of regulatory barriers, available landing slots and terminals for example. For some reasons we think it necessary to have government run airports. Amazon has to compete with other online retailers and local retailers. How many scams it allows is a measure of it's competence, not it's market power. If I get scammed on Amazon they are getting a charge-back and will have to deal with my credit card company.
- _Adam 9y ago
  >Amazon is a infested with scam storefronts. Evidence?
s73ver 9y ago
"The first three markets named (airlines, telecommunications, health care) are all heavily regulated and the barrier to entries are controlled by the government, not natural market forces." Not true. It costs a lot of money to purchase a commercial aircraft, and not because of regulation. It also costs a lot of money to start up an ISP, and not just because of regulation.

peacetreefrog 9y ago

Yeah, and it's debatable whether -- in these cases -- the monopolies would exist if it weren't for this regulation. The health care market is extremely distorted, and that's definitely true in the case of agriculture: http://www.nytimes.com/2013/07/20/business/richer-farmers-bigger-subsidies.html http://www.nytimes.com/2013/07/20/business/richer-farmers-bi...

backtoyoujim 9y ago

Amazon is a infested with scam storefronts. And Amazon is really compelled to do anything about it because they have no competition. Airlines have huge market barriers: getting and maintaining huge, expensive, gas guzzling aircraft. That is not a regulation barrier. Both telecomm and health care are intwined monopsonies backing the play of regional monopolies (cartels) backing federal congresspeople. I just don't buy any of your comment as fact at all.

valuearb 9y ago
Airlines have new entrants all the time. Sure it's costly to start a new airline, but not by the standards of available capital. But there are also lots of regulatory barriers, available landing slots and terminals for example. For some reasons we think it necessary to have government run airports. Amazon has to compete with other online retailers and local retailers. How many scams it allows is a measure of it's competence, not it's market power. If I get scammed on Amazon they are getting a charge-back and will have to deal with my credit card company.
_Adam 9y ago
>Amazon is a infested with scam storefronts. Evidence?

s73ver 9y ago

"The first three markets named (airlines, telecommunications, health care) are all heavily regulated and the barrier to entries are controlled by the government, not natural market forces." Not true. It costs a lot of money to purchase a commercial aircraft, and not because of regulation. It also costs a lot of money to start up an ISP, and not just because of regulation.