Consider three people all looking for a taxi in Manhattan. Though they start waiting at the same time, the one at the most uptown position will catch the first taxi going downtown, and the one located farthest downtown will catch the first uptown cab. The one in the middle is squeezed out. If the middle person isn’t willing to be usurped, he will move either uptown or downtown to preempt one of the other two. Until the taxi arrives, there may not be an equilibrium; no individual is content to remain squeezed in the middle. Here we have yet another, and quite different, failure of an
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