Comment by marcosdumay
4 years ago
> Monopoly power cannot be sustained without government intervention.
Hum... Monopoly power cannot be sustained without barriers to enter. There's nothing saying that those barriers must come from a government. There are plenty of examples where they do, and also plenty where they don't.
Anyway, I don't see how any of that is an except to my earlier point.
> a monopoly will have a much easier time extracting value
That's my point. In the static picture it might seem so, but in the dynamic picture the extracting of the value incentivizes competitors to enter and consumers to seek substitutes.
Would you mind mentioning an example of long lasting monopoly power (which is different than just being the sole seller of something -- after all, everyone is the sole seller of something)?