Here’s an email I just sent one of my classes:
Hello, History of Thought Students,
This came into my mailbox in the last half hour. It illustrates the “activist anti-trust policy” that the Ordoliberals favored. From my classical liberal perspective it is another example of foolish restriction of competition. Competition is what enterprises do to win business; it is not having some number of enterprises in the industry. US Airways and AMR (American) believe they can compete better by merging. Impertinent government officials stand in their way, even though Southwest, United, Continental, AirTran, Delta, and others are out there, and anyone is free to start up a new airline.
This kind of government interference in business enterprise is, again from my perspective, a main reason why our economy is not generating goods, services, jobs, and wealth faster.
Best to all,
UPDATE, November 7: My student Elan Becker reminds me of another government intervention in air travel that reduces competition: foreign airlines are prohibited from serving the American market.