Solving competition in protection markets ultimately requires a mafia-like enforcing superagency.
Related
- Client concentration and violent competition make mafia protection contracts fragile. (similarity 0.84)
- Protection terms depend on the relative power of customer and mafioso (similarity 0.82)
- Prior analysts conflate protected goods’ markets with the protection market itself. (similarity 0.81)
- In protection markets reputation is the product itself, not the signal of it (similarity 0.80)
- Protection challengers raise switching costs rather than undercutting prices (similarity 0.79)
- Restrictive practices among firms need an enforcer to stop free-riding (similarity 0.78)
- Mafia violence exceeds what rational enforcement economics would require (similarity 0.78)