Guest post by Chris Brown.
Government antitrust laws have caused significant damage to consumers and businesses, all in the name of “consumer protection” and “promoting competition.” Unfortunately, government views on antitrust come from a fundamentally flawed understanding of economics – neoclassical economics, the view that is taught in most university economics courses today. In this view, anything other than a “perfectly competitive market” or “perfect competition” is deemed less than ideal. The irony is that in a neoclassical perfect competition model what is actually being described is the absence of competition.
Read the full thing »