> If you had less intervention with respect to privacy would there be more dynamic market-driven initiatives to fill the gaps?

This is hilarious. Because we had that, and it was lacking, to put it mildly. And some people still have that, in a way that's easy to compare (e.g. EU vs US, CA vs other states). For me, the results are in and obvious. Privacy regulations are the only thing that reflects the privacy externalities they might impose on society back onto them (and the shareholders).