My friend and co-blogger at Market Correction, University of Illinois law professor Andy Morriss, makes a nice point in this opening paragraph of a letter that he sent yesterday to the Wall Street Journal.
Dear Editors
Your story on how freeconferencecalls.com and some small
town Iowa phone companies figured out how to snooker the big phone companies out
of millions in fees (“How 2 Guys’ Iowa Connection Took Big Telecoms
for a Ride,” Oct. 4) claims that the deals depended on “outdated
regulations.” That’s redundant. All regulations are “outdated”
because they are frozen in time, while technology and markets rapidly
evolve.
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Fortunately, such behavior doesn't cost the customers of big phone companies a dime. It just comes out of the big phone companies' profits. I jest…
Morriss seems to have made an incorrect point, since it is not true that all regulations are outdated.