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Louisiana teachers' union concerned about educators' future; Supreme Court hears arguments in Trump immunity case; court issues restraining order against fracking waste-storage facility; landmark NE agreement takes a proactive approach to CO2 pipeline risks.

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Speaker Johnson accuses demonstrating students of getting support from Hamas. TikTok says it'll challenge the ban. And the Supreme Court dives into the gray area between abortion and pregnancy healthcare, and into former President Trump's broad immunity claims.

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The urban-rural death divide is widening for working-age Americans, many home internet connections established for rural students during COVID have been broken, and a new federal rule aims to put the "public" back in public lands.

Mergers, Monopolies "Do Not Always Pass Go" for Workers

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Tuesday, October 10, 2017   

NASHVILLE, Tenn. – As the economy changes and expands after the Great Recession, Tennessee consumers are witnessing mergers and acquisitions between tech giant Amazon and Whole Foods, Bass Pro Shops and Cabelas, and others. But as these companies grow larger, what does that mean for workers?

Brian Feldman is with the public policy think tank Open Markets Institute. He summarizes the impact of mergers on workers in these three ways.

"A poor distribution of benefits going back to workers; also, additional power of companies to exercise rights over workers; as well as job layoffs," he says.

Feldman cites a study that found that as sectors of the market become more consolidated, the share of money going to workers declined by $14,000. There also has been a rise in non-compete and forced-arbitration clauses in employee contracts, making it harder for workers to look for other jobs and address labor disputes in court. Mergers cause layoffs due to overlaps in jobs.

Feldman says a lot of companies have avoided the label monopoly because of a policy that arose in the 1970s and '80s known as "consumer welfare," which basically means anything that lowers prices for consumers is thought of as OK. But he says tech companies, or what he calls "platform monopolies," aren't fit for regulation under our modern understanding of antitrust laws, even as they box more companies out.

"They have such large networks of customers that they're able to act as gatekeepers and chokepoints on their platforms and shut out certain competitors," he adds.

Breaking up monopolies may not be popular either, since some see it as government interfering with the free market. But Feldman says the government plays the role of referee, not free-market meddler.

"What the antitrust laws are trying to do is actually create a more competitive and free market and return us to a time when we actually had more entrants being able to at least enter one sector and say, 'Hey, you know, I have this new technology. Let me give it a shot and see if there's a market there,'" he explains.


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