> So yes - in a reasonably functioning capitalist market (which the U.S still is in my eyes) I expect gross inefficiencies to not be prevalent.
I am not sure that is true, though. Assume for a moment that Google would waste 50% of their profits. Truly, a huge inefficiency. However, would that make it likely some other corp could take their search/ad market share from them? I doubt it, given the abyss of a moat.
One could say: True, therefore search is not a reasonably functioning capitalist market.
Yeah, I know, this can turn into "no true capitalist market". Still, it seems reasonable to say that many markets work in a certain kind of way (with lots of competition), and search is not one of those markets.
The parent was referring to the whole US as "market". In that sense the numerous exceptions and non-functioning markets invalidate the statement, IMHO.
I am not sure that is true, though. Assume for a moment that Google would waste 50% of their profits. Truly, a huge inefficiency. However, would that make it likely some other corp could take their search/ad market share from them? I doubt it, given the abyss of a moat.