4 ms·
Will Regulations Kill The Sharing Economy?
- bediger4000 14y agoSo are we to conclude that piles of regulations end up helping the incumbent? That regulation is just a form of mercantilism, or some other discredited economic theory? A few months ago, I heard a story about Kosher food production on NPR (http://www.wbur.org/npr/150300040/why-matzo-makers-love-regulation http://www.wbur.org/npr/150300040/why-matzo-makers-love-regu...). The upshot was that Kosher food producers love the strict regulation - complying with the elaborate Kosher rules makes a large barrier to entry into the market. This viewpoint may actually solve the apparent contradiction of large companies decrying regulation, and giving money to candidates who want to "get rid of red tape", yet actually lobby those same candidates pretty hard to enact more and more regulation.