Coase Colored Glasses

Realtors as cartel
Realtors exist to reduce transaction costs, which sounds like a nice market solution to a diffused information problem. But, the National Association of Realtors and their state affiliates have managed to turn their services into a cartel where they are able to set their pricces at 6% of the selling price. Freakonomics has a good chapter on whether or not you should use a realtor. Here is a recent post on their webpage on the topic.