It is government protectionism and government laws which provide the context in which monopolies are established. The two airline duopoly in Australia was based on legal protection, as are the broadcasting and telecommunications industries. The examples can be multiplied. Many of the problems which the critics say are due to the operation of freedom and the market are in reality the consequence of government intermeddling in the market. Government regulation that goes beyond the basic principles enshrined in the criminal, torts and contract law, generally does not succeed.
Regulation is established and creates problems.
The case is then made for more regulation. The blame is placed on freedom and the market, rather than on ill-conceived regulation, which is in reality the root of the problem. Failed regulation breeds more regulation in an attempt to correct the failures. The argument is often made that the original regulation did not go far enough. The problem often is that the original regulation itself was ill-conceived and unnecessary or went much further than was necessary.