Let’s limit number of dentists in New York!

Here’s a brilliant idea:

Even though dentists have a licence, in New York they shouldn’t be allowed to practice without a special permit. The current licensing process is flawed because it relies only on qualifications of the dentist wannabe. It should also consider how many dentists are already licensed, in order to avoid over-crowding the city with dentist offices, which many citizens have complained about.

NYC dentistry permits will be capped. Once in a few years, the city might issue some additional permits, by holding auctions. 
Existing licensed dentists who would like to move to NYC can easily buy the required permit from another owner, who might want to retire. Prices will vary between $500,000 and $1,300,000.

There might be a few minor downsides, such as higher prices due to constrained competition, having to travel further to get to a dentist office, not finding a free spot when you need one, or licensed dentists not being allowed to practice if they can’t afford buying a permit (sorry guys!). These are all for the Greater Good though.

Does everything above sound stupid?

Read it again, but replace “dentist” with “taxi driver”, “license” with “driving license”, and “permit” with “medallion”.

Now it sounds smart, right?