rbreich ,
@rbreich@masto.ai avatar

Remember: If markets were actually competitive, corporations would keep their prices as low as possible as they competed for customers.

Instead, the concentration of the American economy into the hands of a few corporate giants gives them the power to raise prices with impunity.

InfoMgmtExec ,
mastodonmigration ,
@mastodonmigration@mastodon.online avatar

@rbreich

Recalling that this is called "oligopy" as distinct from "monopoly" and suggestive of a political framework called "oligarchy" to which we are well on our way.

PJ_Evans ,
@PJ_Evans@mastodon.social avatar

@rbreich
Years of not enforcing anti-trust law does this.

Estel_82 ,

@rbreich Yep...

Osito ,
@Osito@mas.erb.pw avatar

@rbreich when you read economics texts pay attention to the words 'all other things being equal' and especially 'perfect' as in perfect competition in other words, a theoretical state that does not exist in reality.
What you do find in reality is that price moves to maximize profit per unit.

Osito ,
@Osito@mas.erb.pw avatar

@rbreich so what kind of market would you say it was if there are only a few producers of the product/ service?

JeffC1956 ,
@JeffC1956@mastodon.social avatar

@rbreich Ahhh, from a game theory perspective your statement doesn't make much sense.

Beachbum ,
@Beachbum@mastodon.sdf.org avatar

@rbreich the only way they’re gonna come back down now is if people stop buying the greedflated items. I have. I drive less, I wait until there’s eggs on the shelf that are on sale because no one else is buying them either, etc. historically, I only buy items that are on sale during Covid, stores didn’t even have sales. It’s time to enact the billionaires tax and take back some of the money that they have stolen from us since 2020.

lukiworker ,
@lukiworker@mastodon.de avatar

@rbreich Kartelle aber das kennt man ja nur von der Mafia.

FaithinBones ,
@FaithinBones@mastodon.social avatar

@rbreich consumers have some power. They can buy what they need not what they want. Snacks, soda, expensive trucks, etc are unnecessary. Companies will react if consumers cut spending

dalfen ,
@dalfen@mstdn.social avatar

@rbreich The first part of your statement is misleading. The second part- yes, the U.S. has many oligopolies in different markets and those major market leaders set prices (they are “price setters” in the market). The gov’t could help with more regulation but a bunch of that would go against the whole “free market” capitalism thing.

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