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Ben - [C/x]
@benersing
Tell me why this statement is incorrect: If you want free, open market competition then over a long enough time horizon you have to accept eventual capture by a centralized entity/person. By nature, competition leads to a winner. A winner, means some level of centralization. What can change is the type and degree of decentralized checks on the constant pursuit of centralized power.
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dawufi
@dawufi
As @cameron pointed out to me on vibe check, this might be true but nothing is ever static. Counter-positioning/inventors dilemma will always exist. So the statement isn't outright wrong, but it's too narrow of a view to fully capture the beauty of competitive markets.
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Cameron Armstrong
@cameron
+1 to @dawufi's point about market turmoil, altho I'd also point out that there are also markets where even with centralizing forces no one "wins it all" (usually bc the industry + margins sucks ass like airlines etc but sometimes govt helps here)
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Thomas
@aviationdoctor.eth
I see those market winners as local optima — it works for a while until a new global optimum is established elsewhere, which itself becomes a local optimum later. The average tenure within the S&P 500 index (as a proxy for market winners in their respective industries) declined from 61 years in 1958 to 18 years today. The index’s sectoral composition has also changed drastically — industrials exited and digital brands entered en masse in the last 30 years. Virtually nobody buys Kodak’s film anymore just like virtually nobody will buy some of the top firms’ current products and services anymore in 30 years. New disruptive technology obsoleting entire markets and spawning new ones, mismanagement, and external events (global financial crisis, COVID-19, regulatory breakups, etc) are mixing things up at the top faster than before
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Andy Jagoe
@andyjagoe
is the market for gold centralized?
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Venkatesh Rao ☀️
@vgr
It’s not incorrect. It’s kinda econ 101 and the rationale for antitrust regulation
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