≥jet engines have a market structure that's uniquely terrible for traditional free market societies.

A lot of the theoretical concepts behind this... They need updating to account for the last generation of experience. For the most part, the concepts were developed in the context of the industrial revolution(s) and manufacturing.

We are talking about manufacturing here, but the US economy in the last generation is a story about software, services, non-manufacturing firms and manufacturing firms the side step (as best they can) the core paradigm of manufacturing economics.

Competitive pricing, substitutes and alternatives, a strategic paradigm governed by market prices, marginal costs, and manufacturing quality... This is relatively marginal paradigm in the US economy, certainly in terms of market cap. In china, it is their bread and butter.

Low margin, highly competitive components manufacturing... Is that really a forte a free market societies in 2026? We outsource the "commodity value add" parts of the process. We certainly do not put them at the center of corporate strategy.

I agree about "corporate rot." I don't think anyone has a good answer to this either. China included. In practice, the best solution appears to be young vibrant companies. VW or Ford vs Tesla & BYD. VW and Ford exist because of history. Tesla & BYD exist because they perform well.

Schumpeter's free market solution was creative destruction... But, we've never really had a system for promoting this.

Part of the problem is that in a global market, allowing a company to fail creates room in the market for renewal, but there's no guarantee that your country will fill it. If Germany had come down hard on VW after the turbo diesel scandal... They probably would have just ceded market share to Korea or China or the US or something.