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The next capitalist revolution (A revolution is needed (:check: (Past…

- - - - old economy consolidated, new economy build market power
      - Europe and America, oligopolies dominates many industries
      - Companies are becoming monopolies obviously or unobviously
        
        American airlines and cable-tv services notorious for high prices and poor services
        
        Old-economy industries earned huge profits beneath the surface of commerce
        
        tech firms provide no-cost services to consumers are pushing costs to other firms
    - - Incumbents argue that globalization foster competition
        
        but in industries less exposed to trade, they make huge returns
        
        Global pool of abnormal profits are $660bn
      - Free cashflow is 76% above 50-year average
    - - far better to get rid of rents themselves
        
        data and IP regimes should fuel competition not protect incumbents
        
        license anonymized data/shorter, rarer and easier-to-challenge patents
        
        government should tear down barriers to entry
        
        non-compete clauses, occupational licensing requirements, complex regulations
        
        antitrust laws must be made fit for the 21st century
        
        regulators should have more power and pay attention to not only welfare of consumers but also overall competitive health of markets
        
        will not solve every ill, but help drive profits to normal levels and workers get the benefits. consumers have greater choice. productivity rise. restore faith in capitalism
      - Beef up labor
        
        more workers on boards
        
        compulsory employee share-ownership
        
        reinvigorate trade unions
        
        but a return to 1960s-style capitalism should be avoided
        
        tolerating abnormal profits so long as they are distributed in a way that satisfies those with power
        
        cozy incumbents will eventually see a collapse in innovation and stagnation in living standards
    - - West Germany put creation of competitive market at the centre of nation-building projects
      - establishment of European single market
      - America broke up monopolies in railways and energy
      - Ronald Reagan fostered competition
    - - labor's share of GDP has been falling, their purchasing power of wages are eating away
      - less new entrants
      - firms reinvest less than expected