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>>Can you provide an example of this actually happening in a competitive market? Tobacco companies probably made a bunch more money as aspects of their adverti
by patmcc 3y ago
>>Can you provide an example of this actually happening in a competitive market?
Tobacco companies probably made a bunch more money as aspects of their advertising became restricted/regulated/banned - because they were basically in an arms race with one another and spending more and more to maintain market share. But that is a pretty specific case, I'm not going to make any claim that's general or applies to airlines.
https://www.nytimes.com/1989/01/02/business/the-media-business-ad-ban-might-help-cigarette-makers.html https://www.nytimes.com/1989/01/02/business/the-media-busine...
- AnthonyMouse 3y agoMaking more money doesn't imply that they lowered prices, and in general the relationship is the inverse. Also, they did not lower prices: https://fred.stlouisfed.org/series/CUUR0000SEGA https://fred.stlouisfed.org/series/CUUR0000SEGA