10 Ways Government Stifles Competition

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San Francisco International Airport

Photo by Tony Webster

Innovations based on information technology are also under attack, by government directly or from competitors by way of government. In June of 2013, Time magazine reported on the case of FlightCar, an upstart car rental service which connects car owners and renters via mobile internet. San Francisco International Airport is no involved in these transactions in any way: FlightCar has no kiosk, uses no airport facilities, and parks no cars. The problem is that SFO collects a $25 per car fee from conventional rental services, and wants and expects to collect the same fee from FlightCar. Since the airport is an agency of government, they can go to the courts (also agencies of government) and find a judge who agrees. This is but one example of government stifling competition from new and innovative businesses by those with an established niche and those who profit from the niche owners.

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