The Mile High Cab Saga Continues

I have written a few times about Mile High Cab’s attempt to enter the taxi market in the Denver metro area.  Today, the excellent news aggregator site Complete Colorado led me once again to the story.  The Denver Daily News reports that the Colorado Public Utilities Commission is considering “several motions, including whether to force existing cab companies to provide financial records indicating that they can’t absorb additional competition, according to Tom Russell, an attorney representing the group of drivers.”

Smart move, Tom.   Discovery can be a very powerful force in our system, which generally favors lots of disclosure.  Chances are, the opponents of Mile High’s application don’t want to have their junk groped in public for a reason.  They are probably doing just fine financially, and their protests about “harm to the market” are really about protection from market forces so they can achieve supra-competitive returns on their investment.

Once again, how about just letting Mile High enter into the market and see what happens?  As a frequent user of taxi services, I am perfectly happy to take the risk that something bad happens. 

But nothing bad will happen, at least for consumers.  More competition will only lead to good things for consumers. 

And if Mile High fails, or if it succeeds and drives Metro or Union out of the market, so be it.  Let the faster, better, or cheaper service provider win, and consumers will be better off.  That’s what capitalism is all about.

Why is that so hard for politicians and bureaucrats to understand?

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Published in: on November 24, 2010 at 12:02 pm  Leave a Comment  

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