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The Conversation

Readers respond to stories in our October issue on America’s monopoly problem and the plight of the substitute teacher.
Source: Justin Renteria

America’s Monopoly Problem

In October, Derek Thompson explained that “America’s biggest companies are growing at the expense of the economy, even if they offer consumers good deals.”

Senator Elizabeth Warren and other reformers are calling for more-vigorous antitrust enforcement. While enforcement may stop further concentration, what else can be done about already highly concentrated industries?

Graduating the corporate income tax, like the federal individual income tax but with a higher cap, could play a significant role in reining in incentives to merge. When companies face a higher tax rate, some might actually split apart because several companies paying a 20 percent rate might be more profitable than a single company paying a 35 or 40 percent marginal tax rate. In this reformed tax scenario, even if companies did not split, their smaller competitors could compete more effectively. Giving companies a financial incentive to

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