Game Theory

By on Sat 17 December 2011

Ken Binmore from his book Game Theory (page 106) says:

The fat cats who get regulated squeal a great deal about the virtues of the free market, but they know that the pleasant properties of perfectly competitive markets only apply when there are large numbers of small buyers and sellers. When there are only small numbers of [large] sellers, they always end up [ab]using their market power to screw the consumer unless restrained by government regulations.

[words in brackets added by me]

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