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by nine_k
2889 days ago
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Hmm, fairness? "Level playing field", maybe. The idea of anti-trust regulation is to break up companies that cornered a market, that is, (mostly) prevented competition on it. Breaking them up serves to make more, smaller companies (out of the split giant) that would start to compete again. Anti-trust laws can be seen as pro-market laws that try to prevent long periods of monopolized markets without waiting for a naturally occurring disruption, instead providing a mandated disruption. Whether it's _efficient_, and whether it works as intended, can be discussed. |
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I think something for folks to keep in mind is that much of the US antitrust laws were made back in the early 1900s to combat _literal_ monopolies, objective collusion between companies to harm consumers, and so on. We're talking price fixing here.
> Anti-trust laws can be seen as pro-market laws that try to prevent long periods of monopolized markets without waiting for a naturally occurring disruption, instead providing a mandated disruption.
This sentence is dangerous: it is very close to saying that any long-term, successful company should be "disrupted". Interpreted differently it could be read that startups should have some inherent right to evenly compete with large companies (by fining or splitting up large companies to be "beatable" by startups).
Again, that is not all the point of anti trust laws. I won't argue whether there should be laws like that (as you can tell, I think not), but the anti trust regulation in the USA is definitely squarely aimed at _actual_ monopolies and collusion.