The Root of Market Corruption

Created on 2020-10-08T20:26:33+00:00

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You can explain the root of market corruption/collusion with simple game theory:

Do not enter the market

Enter the market

So, should you enter the market? Yes <(^_^<).

Should you ever leave the market as long as its profitable? No <(^_^<).

Defense

How do you protect your 1/rd income from someone else who can come in and get another share?

You raise the cost of entry as much as you can.