The_Patriot
DP Veteran
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- May 28, 2010
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In certain circumstances over periods of time yes.
Potable water that is piped into your house, rather then being delivered by truck is such a case
It is very unlikely that a secondary water company is going to build a secondary distribution network (ie pipes) to homes an neighborhoods that already have them, The costs are extremely high, for a very low profit margin item
Water companies here are government run, so they fail the natural monopoly thing. I was refering to a business gaining a monopoly over a particular product.
Where did you get your premise that monopolies don't exist in free markets.A simple question to start a discourse.
I do not believe in natural monopolies since they wouldn't exist in a free market. They only exist when the government regulates in favor of established businesses, which bars entry into the marketplace from newer competitors.
Where did you get your premise that monopolies don't exist in free markets.
And the second.. that the govt creates them.
These are Both False premises.
The govt Routinely Blocks anti-competitive mergers and prevents Natural monopolies.
It's only the existence of federal anti-trust laws that prevents the airlines, railroads, etc etc, etc, etc, from becoming large natural monopolies.
Google would easily eat it's remaining competition Yahoo if allowed, and even without doing so, Has a virtual monopoly. But they wouldn't even try because of existing anti-trust laws. And only because of them.
This applies in Many industries.
It Was the Federal govt who broke up Standard Oil into most of todays major oil companies.
It was the Federal govt who broke up AT&T into 7 companies 25 years ago to promote competition... FROM it's Natural monopoly state.
But now we're back down to 3 of the 7 due to natural efficiencies of scale and the more successful Naturally eating the less successful.
So the true 'natural state' is kept in check by the govt NOT promoted by it.
In the so-called free market, businesses tends to be more monopolistic and stifle competition because corporations combine together though mergers and acquisitions.A simple question to start a discourse.
I do not believe in natural monopolies since they wouldn't exist in a free market. They only exist when the government regulates in favor of established businesses, which bars entry into the marketplace from newer competitors.
In the so-called free market, businesses tends to be more monopolistic and stifle competition because corporations combine together though mergers and acquisitions.
Just look a banking, the media and the petroleum industry now from what it used to be.
A simple question to start a discourse.
I do not believe in natural monopolies since they wouldn't exist in a free market. They only exist when the government regulates in favor of established businesses, which bars entry into the marketplace from newer competitors.
Yes, it is so natural.Monopolies happen because the corporation is more efficient then small business. That’s just the way it is.
Yes, it is so natural.
It is not true that the big old monopolies formed because of government involvement. That is a complete misreading of history.
It is true that most businesses will run more efficiently if they are consolidated, but it is not always true. Where it is true, monopolies will form, unless the government steps in to stop them or break them up.
Monopolies form most easily and stay in place longer where the barriers to entry are high. Government can indeed form high barriers to entry, and can therefore induce the creation of monopolies. But, to make the wild leap that Gov't interference is the only cause, or even the primary cause, of monopolies is simply that: A wild leap.
It is not true that the big old monopolies formed because of government involvement. That is a complete misreading of history.
It is true that most businesses will run more efficiently if they are consolidated, but it is not always true. Where it is true, monopolies will form, unless the government steps in to stop them or break them up.
Monopolies form most easily and stay in place longer where the barriers to entry are high. Government can indeed form high barriers to entry, and can therefore induce the creation of monopolies. But, to make the wild leap that Gov't interference is the only cause, or even the primary cause, of monopolies is simply that: A wild leap.
I really don't feel like doing this argument again but it can be shown that government has protected and supported those monopolistic institutions in a lot of scenarios.
The reason government has done that is becausecorporations are super successful.
Hmm, well do you think it's alright for the government to deploy soldiers to force employees to work?
What does this have to do with corporations running your country? How are corporations accountable to the people outside of being profitable? The state is not a business.. it is a democratically elected group of paid servants. This is something Americans don't understand in a country ran by free market mentality.
Well a business got the government to issue national guard troops in order to force workers to end their strike.
I pretty sure that counts as government propping up business.
No we've already go round and round about your supposed belief what the "free market" is.
You've been shown to be extremely wrong.
Sounds like what your saying big business got the government to do something. The free market won't ever be whatever you propose it might be never has been since the financiers of the economy became organised. They determine who gets the loans for what. Since they are unregulated guess where free market goes? It goes the way they want it to.
I'm sorry but the market is not unregulated.
It has never been like that.
The difference is that my idea prevents giving select businesses privilege and subsidy with the current and previous market giving them lots of those.
Which like say blackwater?
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