Monday, March 16, 2015

Uber Crushing NYC Crony Capitalist Taxi Owner

By Thomas DiLorenzo

New York City’s taxicab monopoly “kingpin” can’t pay his debts, thanks to competition from lower-priced/higher quality Uber drivers.  Citibank is foreclosing on 90 of his monopoly “medallion” loans.  Go, Uber Go!

New York’s decades-old taxicab “medallion” crony-capitalist scheme was set up to limit competition in the business, thereby creating monopoly profits for then-existing cab companies.  It’s the urban version of mercantilist agricultural policies that pay farmers for NOT growing crops or raising livestock.  The current price of one of these medallions is around $800,000, down from over $1 million in June of last year thanks to competition from Uber.  Let’s hope that every last one of these “kingpins” is driven from the market by Uber (and other free-market competitors).

The above originally appeared at

1 comment:

  1. I'm sure the owners - and their cronies in the local governments - are trying to figure out how to put Uber out of business. Not by competition, mind you, but by fiat.