Quote:
Originally Posted by Flame Of Liberty
I think what a Slappy anarcho capitalist would tell you is that government regulating the industry (for example by keeping the prices down) pretty much GUARANTEES that no new company will enter the market and create more competition. High infrastructure cost and artificaly low profit margins cements the status quo.
If you let markets be and companies start to "take advantage" it means the margins in the industry are high, which is a good incentive for a new company to enter the market, compete, drive prices down.
No?
|
No, not in this case.
You could probably count the number of people on one hand who have the means to build the infrastructure network required to run a utilities company. How many years would it take before this additional multi-billion dollar network was built? 10? 20? What happens in the mean time? What happens when after the network is built that the two companies decide to form a utilities cartel, because it is in their best interest?
Also in that sort of system you are essentially placing a value on human life - how much is it worth to the average consumer to not freeze to death during winter? Drink clean water? Power their homes? Have health care? Have access to emergency services?
I guess I could always power up my wood burning stove for some warmth in the winter
