shanek said:
The monopolies exist now because of the government. That's the only way monopolies can exist.
So, if one day all monopolies are simply revoked, new alternatives will spring out like mushrooms after an autumn rain.
I don't think it works that way. See, the companies that now have the monopolies would still control the market and in some areas it would be extremely difficult for new companies to take even a small share of the business. In practice, you would get all the cons of a monopoly without any regulation to keep it in reins.
Since you won't believe me in this, I'll give a practical example: in Finland the railroads are owned and operated by a governmentally owned company Valtion Rautatiet (VR). It is a government sponsored monopoly. Now, if one day the monopoly was revoked, VR privatized, and every company allowed to practice rail traffic, what would change?
Well, nothing. Since VR owns the railways it would be impossible for a competitor to offer cheaper transportation as VR could charge them whatever it wanted for rail usage. Building a new railroad network would be insanely expensive and take at least several decades to complete. One main problem would be routing the new tracks through existing towns: there simply is no vacant space on the surface and tunneling is extremely expensive. If the tracks were laid into vacant places, then there would be no customers and no profits.
So, I rephrase my question: Given that we currently have companies that have monopolies in infrastructure-heavy business areas, is there any reason to suppose that they will not continue to be de-facto monopolies in the libertarian paradise?