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Totally random thought on free markets and big companies

Ok, so I’ve been thinking a bit about ecomonics lately.  I’m by no means an expert, but it certainly is an interesting area.  Part of this is that I have been exposed to quite a lot of Libertarian thinking from my involvement in NO2ID. So I’ve read quite a lot of stuff written by people who see individual liberty and free markets as being opposite sides of the same coin.

Let’s just start with the assumption that free markets are the best way to organise an economy. That is certainly something that the people running the vast majority of large companies would agree with.  If that is so, why is it that those same companies all seem to be run like Soviet-style command economies? Instead of the Supreme Soviet, you have the board of directors.  Instead of a Five Year Plan you have, well, a five year plan. If free markets are such a good thing, why are they not introduced within those companies?  You could have multiple groups competing to provide services, with the best ones succeeding and the worst ones ‘going bust’.  Maybe this does happen in some organisations, or perhaps I’ve missed something obvious here…?

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