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Profit as intended means producer surplus. Economic theory predicts producer surplus reaching 0, while consumer surplus getting maximized. That is what competit
by shortsunblack 2y ago
Profit as intended means producer surplus. Economic theory predicts producer surplus reaching 0, while consumer surplus getting maximized. That is what competition does. It does tell everything about markets. This does not happen because of IP doctrines, which distorts competition. And advertising, which causes information asymmetries.
- s1artibartfast 2y agoHighschool theory might predict that for the price of butter, but everything after that is more complicated. I feel like you are setting up strawmen positions for economic theory, using more economics to refute them, and then claiming economics is bunk.