Delete comment from: Captain Capitalism
I think the clearest examples of cartel behavior in modern society are labor unions.
They attempt to drive up the price of labor by restricting the supply, and when people are tempted to "cheat" by undercutting the union, (either by working for less or working during a strike) rather than the cartel falling apart as it would in a free market, it maintains its position by violence against the "cheater."
Union violence isn't just some weird side effect of herd behavior; it's absolutely essential for a union to maintain its power and position.
Dec 21, 2012, 3:46:06 PM
Posted to I See Cartel, Not Competition