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The advantage is not just 'regulatory capture'. There is also an inherent moat in being a regulated industry. Any new players will need to figure out the regul
by rocqua 5y ago
The advantage is not just 'regulatory capture'.
There is also an inherent moat in being a regulated industry.
Any new players will need to figure out the regulations, compliance, licenses and pitfalls before they can start to challenge you. That is a lot of upfront costs that will take a long time to recoup. Hence helping the old players remain entrenched.
- the_optimist 5y agoI completely agree with this. I'd even argue that regulatory obligations should lapse without explicitly renewal. Nonetheless, particularly on elements of values and principles: it is possible to create bright-line, lightweight, plain-English regulation. See the US Bill of Rights as an example. Let specific instances be litigated in the future, rather than specify all edge cases up front.