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Others will disagree, but I don't see anything morally wrong with agency pricing, or with conspiring to charge customers of copyrighted books high prices.
However, I do think preventing your employees from bettering themselves by seeking other employment is wrong. So that law should be enforced.
As for jail, it probably would not take much to stop the behavior. A week or two of nights and weekends in jail might work. Not because he was Steve Jobs, but because taking anyone off the tax rolls should be a last resort.
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