4 ms·
The accrediting system is a cartel of sorts. It keeps supply low by keeping competition low. It’s not a perfect cartel but none of our modern ones are. They jus
by rdtwo 4y ago
The accrediting system is a cartel of sorts. It keeps supply low by keeping competition low. It’s not a perfect cartel but none of our modern ones are. They just seem to capture large chunks of the market enough so that most people are forced to work with em.
- nradov 4y agoThat's not a real cartel. Several new colleges have achieved accreditation in recent years. There is some paperwork and expense involved but it's not a huge obstacle for any legitimate school.
- rdtwo 4y agoI think a modern cartel does not need fully block competition to be successful merely slow down competitors and put up lots of road blocks such that new entrants can’t compete on cost. Many industries in the USA are quasi cartels, 2-5 companies own most of the market and competition is quashed by it being very difficult to break in. The airlines are a cartel but occasionally you see a new airline or there is a private equity attempt to cartel the vet business dispite the fact that some new independent vets can enter the market.