To: padre35
Business have to make a profit. If you have many competing competitors, you have duplicated owners, accountants, sales staff, advertising other back office expenses. You most also might have many under capitalized companies that can not afford expensive moder machinery and process. So, you do’t get lower costs from more competitive companies becasuse either they can not, because of small size and low profits with a market that is materially full filled, or they are inefficient and don’t have the excess profits to fund new equipment.
In your case what usually happens is either price fixing, or consolidation, then you might have two, price fixing, or even one company. This is the usual effect seen in many Latin and South American countries.
Also what you basically have in that case is our one company reciprocally cut off from the entire world. Usually those companies have less incentive to innovate.
Your example might be true....for a while. All actions have dynamic reactions/consequences after a while. This is something lefties, RINOs, don’t foresee.
You can drive from northern New Jersey, up to Maine, then accross that width as far south as Pensilvania, and along the lakes to as far West as Detroit/Gary and there are hundreds of dead cities all run on Democrat economic notions.
31 posted on
12/20/2009 5:42:51 AM PST by
Leisler
(We don't need a third party we need a conservative second party.)
To: Leisler
"Business have to make a profit. If you have many competing competitors, you have duplicated owners, accountants, sales staff, advertising other back office expenses. You most also might have many under capitalized companies that can not afford expensive moder machinery and process. So, you do’t get lower costs from more competitive companies becasuse either they can not, because of small size and low profits with a market that is materially full filled, or they are inefficient and don’t have the excess profits to fund new equipment" That would be true wherever it occurs, and it presumes that companies cannot compete, which is an odd position to take, if that were true, it would be true everywhere. "In your case what usually happens is either price fixing, or consolidation, then you might have two, price fixing, or even one company. This is the usual effect seen in many Latin and South American countries." And that is what Anti Trust laws are for, they seemed to work well for splitting up MaBell. "You can drive from northern New Jersey, up to Maine, then accross that width as far south as Pensilvania, and along the lakes to as far West as Detroit/Gary and there are hundreds of dead cities all run on Democrat economic notion" And you can drive from upstate SC, Northern and Central GA, Central NC, Western NC up into WVa and see the dead and dying former towns that are the products of Globalism's curious notions. All areas that used to be reliably Republican and Conservative who have begun voting for Democrats in local, state, federal and presidential elections...
41 posted on
12/20/2009 7:58:52 AM PST by
padre35
(You shall not ignore the laws of God, the Market, the Jungle, and Reciprocity Rm10.10)
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson