> The American skies have gone from an open market with many competing airlines to a cozy oligopoly with four major airlines.
It is clear why we have reached this point. Most monopolies are allowed to exist because of state influence (which happens thru many forms, regulation, patents, or plain direct support), all increasing the barrier to entry for would-be competitors. You see this in most heavily regulated markets.
There are other markets where the cost of entry is so high anyway (investment-wise) that naturally very few companies can make it - this is something that is not an issue per se.
It is clear why we have reached this point. Most monopolies are allowed to exist because of state influence (which happens thru many forms, regulation, patents, or plain direct support), all increasing the barrier to entry for would-be competitors. You see this in most heavily regulated markets.
There are other markets where the cost of entry is so high anyway (investment-wise) that naturally very few companies can make it - this is something that is not an issue per se.