"THE FREE MARKET HAS FAILED"

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How do monopolies come to be? It is either through help from the government, or because they provide goods or services more efficiently than their competitors.

Whether or not there is a framework is irrelevent to the idea of natural selection. Natural selection is just the idea that the best (thing) survives whereas the less well thing dies out.

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Even shopping at Walmart, we can't live on $3 a day like the Chinese/maquiladora workers du jour do. If we lowered our wages to the degree that we were competing with 3rd world workers, our economy would collapse. There isn't enough consumer demand as it is; what you propose would make the situation vastly worse.

A better solution would be for those 3rd world workers to unionize and demand *more* pay.

Standard Oil Company - In 1909, the US Department of Justice sued Standard under federal anti-trust law, the Sherman Antitrust Act of 1890, for sustaining a monopoly and restraining interstate commerce. The government said that Standard raised prices to its monopolistic customers but lowered them to hurt competitors, often disguising its illegal actions by using bogus supposedly independent companies it controlled.
"The evidence is, in fact, absolutely conclusive that the Standard Oil Company charges altogether excessive prices where it meets no competition, and particularly where there is little likelihood of competitors entering the field, and that, on the other hand, where competition is active, it frequently cuts prices to a point which leaves even the Standard little or no profit, and which more often leaves no profit to the competitor, whose costs are ordinarily somewhat higher."[10]

France Telecom/Wanadoo—The European Court of Justice judged that Wanadoo (Now Orange Internet France) charged less than cost in order to gain a lead in the French broadband market. They have been ordered to pay a fine of €10.35m, although this can still be contested.[11]
Microsoft released their web-browser Internet Explorer for free. As a result the market leader and primary competitor, Netscape, was forced to release Netscape Navigator for free in order to stay in the market. Internet Explorer's free inclusion in Windows led to it quickly becoming the web browser used by most computer users.[12]
According to an AP article[13] a law in Minnesota forced Wal-Mart to increase its price for a one month supply of the prescription birth control pill Tri-Sprintec from $9.00 to $26.88.
According to a New York Times article[14] the German government ordered Wal-Mart to increase its prices.
According to an International Herald Tribune article,[15] the French government ordered amazon.com to stop offering free shipping to its customers, because it was in violation of French predatory pricing laws. After Amazon refused to obey the order, the government proceeded to fine them €1,000 per day. Amazon continued to pay the fines instead of ending its policy of offering free shipping.
Low oil prices during the 1990s, while being financially unsustainable, effectively stifled exploration to increase production, delayed innovation of alternative energy sources and eliminated competition from other more expensive yet productive sources of petroleum such as stripper wells.[citation needed]
In the Darlington Bus War, Stagecoach Group offered free bus rides in order to put the rival Darlington Corporation Transport out of business.

Also labor unionization does not involve coercion so a true libertarian cannot disparage labor unions as something "unnatural" in a free-market. Government-mandated union-busting legislation on the other hand...

Why not? There is no gun being held to the employee's head. "Right to Work" is government coercion. It is government telling companies they can't make union membership a condition of employment.