3 ms·
In microeconomic theory, it is still set by demand, except that they are capturing some of the rents, causing “dead weight loss” in the market as a whole (eg hi
by manwe150 2y ago
In microeconomic theory, it is still set by demand, except that they are capturing some of the rents, causing “dead weight loss” in the market as a whole (eg higher profits but less overall money changes hands). So there are still limits on the monopolistic behavior, but it is still bad for the buyer
- davidw 2y ago> So there are still limits on the monopolistic behavior, but it is still bad for the buyer That's basically what I wrote in my original comment. They're far from a real monopoly, but they can probably gouge people a few % points, which isn't great.
- trust_bt_verify 2y agoNo monopolies operate outside of the limits of reality. Trying to draw this line between what you feel is real and fake does not seem to resonate.