EU Government Is A Monopoly, Not Google

By Ilana Mercer

The economic sluggards of Europe don't much like competition; it's too much like hard work.
Competition means that a business has to please the only real boss: a picky customer with many
options. Google has raised the ire of the European competition and its proxy, the European Parliament,which "overwhelmingly backed a motion urging antitrust regulators to break up Google."

"Google's dominance," writes Jörg Brunsmann for DW, "didn't arise from the company employing unfair measures to push its competitors out of the market. It's become a market leader because of its innovation."

Put more precisely: Google has arrived at its market share by pleasing search-engine users.

I was part of a worthy group of Austrian economists who published "The Microsoft Corporation In Collision With Antitrust Law," in The Journal of  Social, Political and Economic Studies (Winter 2001, Vol. 26, No. 1.). In section (4) for which I was responsible ("Economic Freedom, Monopoly and the Government,"), I wrote:

Antitrust legislation considers a large market share or a concentration in the market to
signify both monopoly and predatory practices on the part of a company. As such, the antitrust chimera is based on discredited theories about competition. Relying as it does on a model of ideal or perfect rather than rivalrous competition, the legislation aims at a market neatly carved among competitors(32).

The principle applies to Google.

In Austrian economics, moreover, a large market share does not a monopoly make. "The only true
monopolies are government monopolies. A company is a monopoly only when it can forcibly prohibit competitors from entering the market, a feat only ever made possible by state edict. In a truly free market, competition makes monopoly impossible." (From "Media Concentration Is Not A Threat to Free Expression, Government Is.")

Contributor Ilana Mercer is a paleolibertarian writer, based in the U.S. She is a contributor to
Junge Freiheit, a German weekly of excellence, and is a fellow at the Jerusalem Institute for
Market Studies. Her latest book is “Into the Cannibal’s Pot: Lessons For America From Post-Apartheid South Africa.” Her website is www.IlanaMercer.com. Follow her on Twitter. “Friend” her on Facebook.