You know that moment when you are playing the Monopoly Game, and it dawns on you that the dynamics are such that you are going to lose?
In the last 30 years, acquisitions and mergers are up 700%, while Justice Department enforcement is down 75%. In any industry we can name, the insiders are forming oligopolies and raising the barriers to entry into the market. How can the TMobile people tell us with a straight face that letting them gobble up Sprint is going to make for more competition?
Because of lax enforcement, four or fewer companies now control over 80% of each the following industries: banking, railroads, drug stores, search engines, wireless carriers, overnight parcel delivery, pay TV, smart phones, social media and airlines.
There are the even larger number of stealth mergers. Until 2001, the non-reporting merger cap was $15 million, but it has now been raised to as high as $360 million. The 4,000 acquisitions of kidney dialysis centers, for example, has resulted in two companies controlling 77% of facilities.