In fact, under a new system with multiple consolidators, it may become harder for new market centers to enter, for example if there are no requirements to distribute their information. In this case, the longer-term effects would be to reduce actual and potential competition. Note that innovation is likely to decrease rather than increase in this scenario. There would be a strong economic case for further regulation and even rate setting. It is much more appealing and significantly easier to set rates when there are relatively few producers with considerable market power and when there is no new entry.
Market power can exist even if prices are falling.
This is possible if costs are also falling, for example due to innovation on the part of information technology providers. In a complex business with differentiated goods, there is always some degree of market power. Market power can exist even if customers are represented on the governing body of the organization setting prices. It may be helpful to have customer representation, but given that all the customers cannot be represented, this cannot eliminate market power. In fact, strong representation of large customers could lead to rules or practices that favor them relative to small investors.