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Steve Stoft's avatar

#1 Yes non-compete clauses benefit monopolies and hurt employees -- very rich employees, the super-stars. Don't waste your time on them.

#2 There's a myth that "busting monopolies" is the answer to monopoly capitalism because ... Teddy Roosevelt! That's just wrong. After breaking up Standard Oil (actually it was Taft that did the job for him) a few years later he concluded --That didn't work; all the pieces are colluding tacitly and making just as much, maybe more.

#3 Around that time we learned from the electric industry that monopolies have a good side (wait, I'll get to how Teddy fixed the bad side). There were sometimes 4 power companies building power lines down the same street. This made a dangerous expensive mess. Now you notice, this is Never the case. We make sure to have monopoly power companies at least for delivering power.

#4 But monopolies are still a problem and fixing that was TR's big accomplishment that you don't hear about because it doesn't sound as cool as busting the big banks (which he didn't). His answer was to regulate them, and he put in place the apparatus needed to collect the info to regulate them. That's still going strong (I forget, but is it the FTC?)

#5 Maybe you like socialism. Why? Because that has the efficiency of monopoly plus complete regulation. Now I'm not advocating that. But my point is Monopolies can (not always) have huge efficiencies. So we regulate electricity, water, most road building, etc.

#6 Regulation can be done very badly, and it's tricky, but don't forget it. That's what TR was most proud of doing, Not Busting Monopolies

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Steve Stoft's avatar

This is not wrong, but it is basically an ad hominem attack, and not appropriate for Persuasion. Teddy, did have a big ego and crave attention. But he was also an unusually decent and dedicated human being, which is opposite to Trump.

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