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>Then he talks about corporate monopolies (anyone who's read economics 101 would tell you corporate monopolies are rarely result of unadulterated capitalism, but rather state corporatism). Let's talk about this point as a whole. Firstly, I don't think it is well substantiated, and there are numerous examples to the contrary- Microsoft, Standard Oil, United Fruit, telecoms, airlines, railroads- almost anything which requires significant initial investment to grow. But, more importantly- why distinguish between capitalism and what you call "state corporatism"? The corporations who lobby the state, or coerce the state, or even cause the formation of an authoritarian state in ways that work in their favor are merely being good capitalists- they're simply better at competing than other capitalists! When United Fruit coerces the US government into supporting a foreign coup, or a corporation coerces the police or military to massacre striking workers, or big oil asks for huge subsidies- it's no different from a capitalist perspective then investing in advertising or aggressive expansion, and all are about increasing control and centralizing power. If there were no state corporatism, how long would it be before a capitalist caused it to come about? Campaign finance laws, monopoly regulations, and public opinion can be rolled back or simply ignored until power is consolidated; the inherent unequal distribution of power in capitalism means that a comparative few people will always be capable of doing this. In the words of Woodrow Wilson: "If there are men in this country big enough to own the US government, they are going to own it". State corporatism, monopology, and inevitably authoritarianism are the end game of capitalism, not a perversion. You can't put limits on the definition of capitalism so that the second anyone is any good at it, and the most obvious oppression that being good at capitalism causes is then apparent, that suddenly it's "not capitalism" anymore because they didn't play by your rules in a system where the actual rules are what those with money say they are. Hopefully, this should make you more critical of the inherent viability of capitalism. |
Airlines-- government regulated, airports are local government monopolies and they limit competition.
Microsoft- Not a monopoly in any line of business
I have been waiting for a long time for someone to come up with an example of an actual natural monopoly that exercises monopoly pricing power. In every case so far, either they had competition, or government is the one that was limiting competition in the first place, usually by regulation.