I don't understand this. Roads are a common resource but (so far) we're not forced to ride only in buses. Also, one can have a conversation in a 'cryptic' language, or is that prohibited as well ? :)
Yes, one can have a conversation using 'cryptic' language. For example, it's common to hear Q-codes used (http://en.wikipedia.org/wiki/Q_code); they are cryptic unless you know what they are. They are not, however, secret.
I fail to understand your analogy about buses and cars.
Amateur radio is about amateurs learning about, improving and using radio. It is not about private conversations. If you allow encryption on the amateur bands then you are de facto excluding others. Part of the joy of amateur radio is picking a transmission out of the air, listening to it or 'decoding' (not in the cryptographic sense) the transmission scheme used.
I would suggest that Lulzlabs people look at not using an amateur radio band. There are unlicensed bands that they could use for this purpose. e.g. http://en.wikipedia.org/wiki/ISM_band
Most major highways don't allow pedestrian or bicycle traffic (among other things). Most roadways don't allow unlicensed vehicles. You can't go start up a pickup hockey game in the middle of a major road. This is all regulated. You can't just go use a road for any old reason, just because it's perfectly capable of being used for that reason.
Completely unregulated spectrum would probably be intentionally filled with garbage and the remainder sold back at the highest possible prices. In other words, some ass(es) would DDOS the spectrum to create scarcity.
If encrypted comms were allowed on open bands, commercial users would probably use the free spectrum and it would be difficult/impossible to get them not to.
I don't understand this. Roads are a common resource but (so far) we're not forced to ride only in buses. Also, one can have a conversation in a 'cryptic' language, or is that prohibited as well ? :)