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    Who are the NERD fund donors Mr Snyder?

    Raise the curtain.

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    Michigan GOP 2010 State Convention - Aftermath, Consequences, & Lessons Learned | 37 comments (37 topical, 0 hidden)
    Let's think about this.. (none / 0) (#28)
    by jgillmanjr on Thu Sep 16, 2010 at 08:52:49 AM EST
    #1 happens when a company is successful enough that they can either buy out their competition or lower prices so that other companies cannot compete with them.

    I was saying with number one that people voluntarily only buy from company X, despite any possible alternatives. This is a silly proposition, as there will be always be a competitor looking to fill a niche.

    In regards to lowering prices (predatory pricing), Thomas Sowell calls bullshit on that.

    if a company successfully monopolized something like oil, or copper refining, or anything like that, the results could be very bad.

    Again, I don't see how that would happen without the government getting involved. The lump sum of what a company would pay to buy out probably wouldn't outweigh what the targeted company could get in profits by maintaining its own firm and not selling its assets.

    But even if that did happen (assuming a single company could somehow own rights for ALL oil producing areas), then I guess you would get your wish of alternative energy becoming much more economical, as competitors would work that angle (biodiesel, solar, etc).

    As for price fixing, so what. Cartels are considered to be inherently unstable by many economists (and I would guess those that don't buy into the Keynesian bullshit). Yeah, they fix prices for a while, and then one of them realize that they aren't maximizing profit, and drop their price to get a larger quantity sold. It's essentially the same theory that makes a naturally formed monopoly almost impossible.

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    Michigan GOP 2010 State Convention - Aftermath, Consequences, & Lessons Learned | 37 comments (37 topical, 0 hidden)
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