Reputation, not regulation

CONTENTS	MORALITY
FAQ Statement History Glossary Platform Promotion Initiatives LOD LTE/Articles LP Links Liberty links Books Movies	It's immoral to forcibly limit choice or restrict market entry.
PRACTICALITY
For a free market economy to function properly, there must be no restriction on price communication, market entry or trade. Licenses, zoning and other laws restrict market entry, which restricts competition, which restricts choice and establishes monopolies, which can set prices above market, where market price is the lowest price at which competing businesses can profit sufficiently to justify the endeavor. Building regulations and other product restrictions inhibit innovation, restrict choice and bias the market toward established businesses. Regulations enable incompetent producers to operate with legal impunity as long as they comply with the regulations. Regulations rely on police, e.g. inspectors, who are invariably corrupted. Then comes regulators of the regulators. Better to rely on the reputation of a builder or producer according to the experience of friends and neighbors than on regulation.

CONTENTS

MORALITY

It's immoral to forcibly limit choice or restrict market entry.

PRACTICALITY

For a free market economy to function properly, there must be no restriction on price communication, market entry or trade. Licenses, zoning and other laws restrict market entry, which restricts competition, which restricts choice and establishes monopolies, which can set prices above market, where market price is the lowest price at which competing businesses can profit sufficiently to justify the endeavor.

Building regulations and other product restrictions inhibit innovation, restrict choice and bias the market toward established businesses. Regulations enable incompetent producers to operate with legal impunity as long as they comply with the regulations. Regulations rely on police, e.g. inspectors, who are invariably corrupted. Then comes regulators of the regulators.

Better to rely on the reputation of a builder or producer according to the experience of friends and neighbors than on regulation.