Monday 11 November 2019

Natural monopoly

Every industry is a natural monopoly, for that is the most natural form of industrial organization. In some industries, regulation to prevent monopolies for forming can increase aggregate economic welfare. In others, it cannot, and these are commonly referred to as "natural monopolies."

But what is the most natural form of political organization? The question doesn't make sense, because by definition, politics is the process by which societies make decisions about how they are governed, i.e. how whatever comes naturally should be regulated for the common good.

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