View from the Shop—Antitrust and the Decline of the America’s Independent Small Business

AuthorAnn Marie Mehlum
Date01 December 2016
DOI10.1177/0003603X16677781
Published date01 December 2016
Article
View from the Shop—Antitrust
and the Decline of the America’s
Independent Small Business
Ann Marie Mehlum*
Abstract
Stacy Mitchell’s ‘‘View from the Shop—Antitrust and the Decline of America’s Independent Small Business’’
is the latest contribution in a string of recent articles and reports calling for a renewal in antitrust policy.
Keywords
small business, antitrust policy, antitrust enforcement
Stacy Mitchell’s ‘‘View from the Shop—Antitrust and the Decline of America’s Independent Small
Business’’ is the latest contribution in a string of recent articles and reports calling for a renewal in
antitrust policy. In the fall of 2015, the American Prospect published an article called ‘‘Bring Back the
Antitrust’’ by journalist David Dayen.
1
Dayen called for a new antitrust policy. He noted that
‘‘[d]espite low inflation and some bargain prices, economic concentration and novel abuses of market
power are pervasive in today’s economy—harming consumers, workers, and innovators.’’
Perhaps taking Dayen’s invitation, the Center for American Progress answered with a report calling
for revival of antitrust policy.
2
The authors explained that a renewed emphasis on antitrust enforce-
ment could make a significant contribution to reverse the disturbing trends towards increasing eco-
nomic inequality and stagnating middle-class incomes. The report examined the evidence of increasing
market concentration and supranormal returns on investment capital. In a healthy market, one would
expect higher rates of entry for new firms. Yet while markets concentrated and returned exorbitant
profits to investors, there has been a remarkable decline in the net creation of new firms.
3
*
Retired, former Associate Administrator at the U.S. Small Business Administration, Washington, D.C., USA
Corresponding Author:
Ann Marie Mehlum, retired, former Associate Administrator at the U.S. Small Business Administration, Washington, D.C.
20024, USA.
Email: annmehlum@gmail.com
1. David Dayen, Bring Back Antitrust,THE AMERICAN PROSPECT (Nov. 9, 2015), http:// prospect.org/article/bring-back-
antitrust-0.
2. M. JARSULIC,E.GURWITZ,K.BAHN,&A.GREEN,REVIVING ANTITRUST WHY OURECONOMY NEEDS A PROGRESSIVE COMPETITION
POLICY (June 2016), https://cdn.americanprogress.org/wp-content/uploads/2016/06/28143212/RevivingAntitrust.pdf.
3. WHITE HOUSE COUNCIL OF ECONOMIC ADVISERS,BENEFITS OF COMPETITION AND INDICATORS OF MARKET POWER (2016).
The Antitrust Bulletin
2016, Vol. 61(4) 517-519
ªThe Author(s) 2016
Reprints and permission:
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DOI: 10.1177/0003603X16677781
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