“One of the key dynamics in today’s economy is the overfed middleman, whether Google, Ticketmaster, Vizient, Amazon, pipeline giants, or any other mediator that controls an industry. This week, a major antitrust decision came down, and it’s one targeting key middlemen in our housing markets. Specifically, a jury found that the National Association of Realtors, the main lobby for real estate agents, has engaged in a multi-billion dollar conspiracy to inflate the cost of broker commissions, which has distorted our housing markets.”
The US economy is riddled with bloated transaction costs. Other prominent examples include health insurance and plan providers, the pharmaceutical industry, and, as we have written, fees that banks charge through credit card transactions and loans: