« Breaking News | Main | For The Record »

Stephen Moore Thinks You're An Idiot

NRO does economic history:

Antitrust actions may have made sense during the era of Theodore Roosevelt, when firms like Standard Oil could truly monopolize local markets. But in the 21st century, where markets are global, the idea that firms can gouge consumers on prices is as antiquated as the stage coach. Consumers are more fickle and cost-conscious than ever before. If prices get out of line in any market where there are no barriers to entry, competitors swoop in and lower costs so that monopoly rents disappear.

[emphasis added]

Compare and contrast:
Parachutes may have made sense during the era of Theodore Roosevelt, when folks who jumped out of hot air balloons could truly tumble to their deaths. But in the 21st century, where markets are global, the idea that a largish patch of fabric can save you from crushing your bones is as antiquated as the stage coach. Consumers are healthier and better-nourished than ever before. If you jump out of a plane in an atmosphere where there's no air resistance, you'll fall just as fast whether or not you're wearing a parachute.
Now, clearly, Moore is right. There are some monopolies such that low barriers to entry mean there will be no benefit to consumers of breaking the monopoly up. Technological change may impact when and where this is the case. But to claim, as Moore did, that thanks to technological shift all anti-trust actions are now antiquated and that this is because in the present day there are no barriers to entry is absurd.

September 15, 2004 | Permalink

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8345160fd69e200d83421594b53ef

Listed below are links to weblogs that reference Stephen Moore Thinks You're An Idiot:

» The Diaper Wars from Obsidian Wings
That sound you heard, just now, was my jaw falling from my skull and drop-drop-dropping onto the floor after finishing Stephen Moore's recent NRO article on Bush's anti-trust policy. "Extraordinarily underwhelming" doesn't begin to do justice as a desc... [Read More]

Tracked on Sep 15, 2004 5:26:47 PM

» Price fixing and parachutes from Julie Saltman
Yglesias, you're giving Moore, who later in the article advocates repealing the Sherman Act, a hell of a lot more credit than he deserves for this shit. Price fixing, despite the threat of astronomical penalties and the paucity of good defenses, is n... [Read More]

Tracked on Sep 15, 2004 11:12:46 PM

» Bucks Know They Must Stem Tide from Pistons. Being
the harsh reality of the situation that confronts them in their National Basketball Association [Read More]

Tracked on May 22, 2006 2:55:21 PM

» Alberta Energy and Utilities Board Receives Award for Excellence in Using GIS Technology for Developing Petroleum Solutions from advancement of
the advancement of GIS within the government through the development of petroleum based applications. [Read More]

Tracked on May 27, 2006 1:45:29 AM

» Wilbon: Brown Delivered for Pistons; Can Saunders? from before you simply
reach, writes Michael Wilbon in THE WASHINGTON POST. But the downside, if you lose [Read More]

Tracked on Jun 10, 2006 10:44:35 AM

» Dad gets son to do what he auto from The right job
The right job can make a dream come true - and bring a father and son closer. [Read More]

Tracked on Jun 12, 2006 6:52:13 AM

» Intel creates e-health interoperability alliance from to increase compatibility
a major international new alliance of healthcare hardware and software providers called Continua, in order to increase compatibility of e-healthcare [Read More]

Tracked on Jun 13, 2006 8:54:21 AM

» Web Poll: Can Plastic Surgery Aid Careers? from Can Plastic Surgery
Can Plastic Surgery Help Advance a Career?; Groups Give Last-Minute Tax Tips [Read More]

Tracked on Jun 28, 2006 10:38:33 PM