It wasn’t state intervention by itself you to definitely was the cause of failure of competitive program, however, predatory team interests influencing political authority. “Authorities recommendations,” he wrote in the Capitalism and you can Independence, are “the most essential supply of dominance power” and is hidden under says regarding the social responsibility. This is exactly why the fresh new section intent on monopolies is actually including regarding the “personal obligations off providers and you can labor.” Friedman up coming explores just how federal companies including the Interstate Business Fee (ICC) together with Government Interaction Fee (FCC) got employed by incumbents to protect the locations.
How did that it work with routine? Public duty claims offered legitimacy so you can monopolies, cartels, and enormous people. Effective companies busied themselves influencing regulation within prefer. Friedman-always rhetorically expert-appreciated to describe for the speeches just how political figures were co-joined because of the recasting this new Smithian hidden hand: “Males which seek because of governmental equipments so you’re able to serve just the personal attention is actually led by the an invisible hand so you can serve individual welfare that they could not serve once they know whatever they were starting.”
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