Originally Posted by Bahir
bigbear - read up on microeconomics, market failures and oligopolies in particular. A free market does not always work, and that's why the government is there.
As for Obama being a socialist - it's ridiculous. Compared to the system we have in Sweden (which happens to be one of the most democratic countries in the world), Obama's politics would be far, far to the right of our most right parties (well, maybe exept for one, due to them being racists).
By the way, Venom: strange, I always though of you as more of a republican/conservatist.
If a firm, through greater efficiency, does obtain a monopoly, oligopoly (M or O)in some sense in its industry, it would typically do so, by lowering prices and benefiting the consumers. Most people who attack M or O say that what is wrong with them is precisely a restriction of production and a rise in price. So one achieved by the opposite methods would be OK.
When an oligopoly, sometimes called a cartel, of many firms forms, what is actually involved is co-operation to increase the incomes of the producers. But is this process not the same as any sort of joint partnership or the formation of a single corporation?
If there is a crime committed when forming said M or O, then let the existing penal code address it, excessive government rules on the activity of the market only makes if function less than optimally. I donít want the government restricting the economy. I want to vote with my dollars.
If no outsiders enter this field, in a free economy, it is because they do not feel it is profitable. If it is not profitable, then the current M or O or what have you, must be doing things fairly efficiently and not hurting the consumer. The problem arises when you have a monopoly or oligopoly in a society where people are not free.
The government you rely on to protect you from M or O, is the very government that plays favorites and protects certain groups from others and restricts fair competition. If the consumer is allowed to vote with their dollar, rather than the government making decisions for us, we will be better off.
All of the above, rests on the assumption that you reside in a free economy. The more socialist your economy than the more harm M or O will do. It is ironic people who feel government intervention is necessary because they think the free market doesnít work, are OK with government regulations as a nation slowly slips into a socialist state. The original goal of the government regulations was to prevent M and O but when the socialist state is complete, government has a monopoly on everything! Pure irony!