Part I Is competition a good thing for the economy? "Competition is a good thing; monopoly is not a good thing." This statement is generally not one hundred percent true for a market economy. The ideal competitive market economy in which supply and demand is in equilibrium and where consumer and companies have a benefit is not available often. J.J. Laffont mentioned on the Annual World Bank conference 1998: "Competition is an unambiguously good thing …
showed first 75 words of 2293 total

showed last 75 words of 2293 total
…from business for example for software licenses. These can be used to sell education version for low prices. The higher education level and the cheaper prices level increases the economy and consumer welfare again. Finally, there is the result that the price discrimination can be in consumer interest in some cases. The consumer welfare decreases in an optimal price discrimination but on the other hand there are some advantages which flow back to the consumer.