The events of the past 12 months, culminating in Venezuela and now Greenland, has made me reevaluate a lot of my beliefs about unimpeded competition between free agents (i.e. a free market) leading to the best and most peaceful outcomes. Clearly, a few participants becoming disproportionately powerful is a failure mode.
The way I've tried to reconcile my beliefs with what are clearly contradictory observations in the real world is: markets/competition are dependent on a substrate of social contract, and that substrate must precede market dynamics and must not be subject to them. When market dynamics leak into the foundation on which the market is built (the social contract, culture, law, norms), then the system starts moving toward raw competition, which is the same as war. Which is what I think what's happening now.
The way I've tried to reconcile my beliefs with what are clearly contradictory observations in the real world is: markets/competition are dependent on a substrate of social contract, and that substrate must precede market dynamics and must not be subject to them. When market dynamics leak into the foundation on which the market is built (the social contract, culture, law, norms), then the system starts moving toward raw competition, which is the same as war. Which is what I think what's happening now.