View Poll Results: Do you believe in natural monopolies?

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Thread: Do you believe in natural monopolies?

  1. #31
    Educator Gabriel's Avatar
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by other View Post
    By saying this, you are agreeing that government interference is a necessary ingredient in the formation of monopolies. Corporations are distinguished from other entities because of certain legal protections/exemptions.
    Corporations come first from free market and government is forced to deal with them it is a natural progression.

  2. #32
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Harry Guerrilla View Post
    It's formal duties that are expressly written as duties of the government, should be left to the government.

    Nation building isn't really a government duty.
    There for Blackwater would have no use.
    Blackwater isn't nessesary in anyway.. but the move away from a public military to a private military is a free market ideal.

  3. #33
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Dezaad View Post
    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.
    To posit that monopolies can form in an environment completely (or mostly) free of interference is a leap just as big, and also unsupported by history.

  4. #34
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Gabriel View Post
    Blackwater isn't nessesary in anyway.. but the move away from a public military to a private military is a free market ideal.
    Depends on what system you believe in.
    I do not believe in anarcho-capitalism, so that isn't true for me.

    I believe in a market free from subsidy and privilege, with a legal system that prevents fraud and force.
    I was discovering that life just simply isn't fair and bask in the unsung glory of knowing that each obstacle overcome along the way only adds to the satisfaction in the end. Nothing great, after all, was ever accomplished by anyone sulking in his or her misery.
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  5. #35
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Gabriel View Post
    Corporations come first from free market and government is forced to deal with them it is a natural progression.
    No.

    The term "Corporation" is a legal one, defined by government policymakers. Corporations are government-sanctioned entities, regulated and enforced by law.

  6. #36
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Harry Guerrilla View Post
    Depends on what system you believe in.
    I do not believe in anarcho-capitalism, so that isn't true for me.

    I believe in a market free from subsidy and privilege, with a legal system that prevents fraud and force.
    Private for profit is more expensive then doing work at cost.. simple stuff. Efficiency is always a matter in both situations but the added cost of profit makes this sort of enterprise for the state an unacceptable expense when they can do it internally.

  7. #37
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by other View Post
    No.

    The term "Corporation" is a legal one, defined by government policymakers. Corporations are government-sanctioned entities, regulated and enforced by law.
    They are a natural progression of free marketing. They become public concern and importance.

  8. #38
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Gabriel View Post
    Private for profit is more expensive then doing work at cost.. simple stuff. Efficiency is always a matter in both situations but the added cost of profit makes this sort of enterprise for the state an unacceptable expense when they can do it internally.
    Government can't operate efficiently most of the time.
    They act as a middle man scraping off additional revenue because there is no demand to control costs.

    Profit exists but cutting costs is a part of the market because competitors are always trying to gain an edge over each other.

    When the government has a monopoly there is no incentive to cut costs in competition.
    There are some places where that is marginally acceptable but the public should be more aware of how their money is being spent.
    I was discovering that life just simply isn't fair and bask in the unsung glory of knowing that each obstacle overcome along the way only adds to the satisfaction in the end. Nothing great, after all, was ever accomplished by anyone sulking in his or her misery.
    —Adam Shepard

  9. #39
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Gabriel View Post
    They are a natural progression of free marketing.
    what do you mean by this?

    If you are trying to say that they form "naturally" without outside interference (ie. from some third party not directly involved in markets but with power to use force over them--such as governments) then you are incorrect. Corporations are created through policy. That is simple and undisputable fact. Legal protection/exemption is part of the definition of a corporation.
    Last edited by other; 07-27-10 at 12:42 AM.

  10. #40
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    Re: Do you believe in natural monopolies?

    Quote Originally Posted by Harry Guerrilla View Post
    Government can't operate efficiently most of the time.
    They act as a middle man scraping off additional revenue because there is no demand to control costs.

    Profit exists but cutting costs is a part of the market because competitors are always trying to gain an edge over each other.

    When the government has a monopoly there is no incentive to cut costs in competition.
    There are some places where that is marginally acceptable but the public should be more aware of how their money is being spent.
    Says who? Healthcare that covers 100% of the people in .. say Canada costs ~5% less gdp then it does in the US where only 60% are covered without having to go bankrupt.

    Private enterprise works hard on cost because it needs to offset the profit taking which is sometimes more efficient but in many cases like education and healthcare for example they only end up costing more.

    Government is limited in a balanced budget. However you can work this model in times when it is bad by saving and being frugal in times when they are good. Simple math makes Keynesian economics perfectly acceptable. The trick is cutting spending in good times.

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