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Can monopoly be efficient?
There are two types of monopolies: coercive and non-coercive.Coercive monopolies use coercion (physical force, threats of force or fraud), via private or government means, to eliminate their competition. Thus they have less competitive incentive to provide higher quality at lower cost. Therefore they tend to be relatively inefficient compared to freely competing businesses.On the other hand, a non-coercive monopoly does not use coercion to eliminate competition. It is a freely competing business. In other words, competing service providers are free to enter the market. This possibility provides competitive incentive for the non-coercive monopoly to maintain customer loyalty by providing them with high quality at low cost. If the non-coercive monopoly does not serve consumers as well as it could, they create profit incentive for competitors to enter the market and win those customers. To prevent this from happening, non-coercive monopolies tend to be relatively efficient compared to coercive monopolies and potential competitors.In fact when multiple businesses merge into one, they often achieve higher economies of scale. Thus non-coercive monopolies have the potential to be more efficient than multiple competitors.Keep in mind, most monopolies today are coercive monopolies, and thus relatively inefficient.
To punish the city of Boston for its infamous tea party parlianment passed the?
The Coercive Acts which were called The "Intolerable Acts." by the colonists. The first: Boston Port bill, closed the port of Boston, Administration of Justice Act, The Massachusetts Government Act, Quartering Act, The Quebec Act.
What is meaning of coercive organisation?
coercive
What were the coercive acts and why did they fail?
why did the coercive act fail
What four privacy practices does the Federal Trade Commission recommend for the web?
Its principal mission is the promotion of consumer protection and the elimination and prevention of what regulators perceive to be harmfully anti-competitive business practices, such as coercive monopoly.
What is nature of state?
The nature of the state varies according to which author is cited. Generally, philosophers and political theorists roughly agree it is a set of coercive institutions that hold a monopoly of power in a given region and enforce its rule.
How did Sherman Antitrust Act harm businesses such as standard oil and tycoons like John D Rockefeller?
Section 2 of the Act forbade monopoly. In Section 2 cases, the court has, again on its own initiative, drawn a distinction between coercive and innocent monopoly. The act is not meant to punish businesses that come to dominate their market passively.
What was the coercive act?
The coercive act were a series of four acts established by the British government.
What was An unexpected result of the Coercive Acts was?
An unexpected result of the Coercive Acts was the increased support for Massachusetts and its resistance to the authority of England. The Coercive Acts were originally meant to subdue disobedience.
How do you use the word coercive in a sentence?
Neither on their own is enough to justify coercive military force. The early railroads often used coercive efforts to get the land they needed.
What is a synonym for coercive?
A synonym for coercive is forceful. It can describe when someone is being bullying or controlling in a forceful manner. Another synonym can be intimidating.
Is the coercive act same as the Tea Act?
No, the Coercive Acts and the Tea Act are not the same. The Coercive Acts, also known as the Intolerable Acts, were a series of laws imposed by the British Parliament on the American colonies in response to the Boston Tea Party in 1774. The Tea Act, on the other hand, was a specific law passed by Parliament in 1773 that granted a monopoly on tea trade to the British East India Company, which ultimately led to the Boston Tea Party.
