It’s tempting to believe that government regulation of the Internet would be more consumer-friendly; history and economics suggest otherwise. The reason is simple: a regulated industry has a far larger stake in regulatory decisions than any other group in society. As a result, regulated companies spend lavishly on lobbyists and lawyers and, over time, turn the regulatory process to their advantage. Economists have dubbed this process “regulatory capture,” and they can point to plenty of examples. The airline industry was a cozy cartel before being deregulated in the 1970’s. Today, government regulation of cable television is the primary obstacle to competition.