In an age of technological advancement and seamless communication, one might assume that workers are thriving. However, stagnant wages and rising prices—from everyday items to essential medical devices—tell a different story. Economist Jan Eeckhout reveals that a select few companies are exploiting their increased market power, allowing them to set prices above competitive levels. Through his groundbreaking research and the narratives of everyday workers, he illustrates how this market power has stifled the workforce and warns of potential market corrections and political instability without improved competition mechanisms. Over the past forty years, a handful of firms have monopolized the benefits of technological progress, acquiring competitors and generating vast profits while creating stark inequalities for workers. Rather than lowering prices for consumers, these "superstar" companies utilize new technologies to increase costs. The repercussions are significant: inflated prices, fewer startups, rising inequality, stagnant wages, and limited social mobility. This thought-provoking exploration highlights the detrimental effects of market power on ordinary workers and proposes tangible solutions to restore a balanced economy.
