《中级微观经济学》PR8e_ch10ly.pptVIP

Limiting Market Power: The Antitrust Laws 10.7 ● antitrust laws Rules and regulations prohibiting actions that restrain, or are likely to restrain, competition. Excessive market power harms potential purchasers and raises problems of equity and fairness. In addition, market power reduces output, which leads to a deadweight loss. In theory, a firm’s excess profits could be taxed away, but redistribution of the firm’s profits is often impractical. To limit the market power of a natural monopoly, such as an electric utility company, direct price regulation is the answer. It is important to stress that, while there are limitations (such as colluding with other firms), in general, it is not illegal to be a monopolist or to have market power. On the contrary, we have seen that patent and copyright laws protect the monopoly positions of firms that developed unique innovations. Restricting what Firms can do ● parallel conduct Form of implicit collusion in which one firm consistently follows actions of another. ● predatory pricing Practice of pricing to drive current competitors out of business and to discourage new entrants in a market so that a firm can enjoy higher future profits. * of 52 Copyright ? 2013 Pearson Education, Inc. ? Microeconomics ? Pindyck/Rubinfeld, 8e. Copyright ? 2013 Pearson Education, Inc. ? Microeconomics ? Pindyck/Rubinfeld, 8e. * of 52 10.1 Monopoly 10.2 Monopoly Power 10.3 Sources of Monopoly Power 10.4 The Social Costs of Monopoly Power 10.5 Monopsony 10.6 Monopsony Power 10.7 Limiting Market Power:The Antitrust Laws C H A P T E R 10 Prepared by: Fernando Quijano, Illustrator Market Power: Monopoly Monopsony 市场势力： 垄断与买方垄断 CHAPTER OUTLINE 10.1 垄断 10.2 垄断势力 10.3 垄断势力的来源 10.4 垄断势力的社会成本 10.5 买方垄断 10.6 买方垄断势力 10.7 限制市场势力：反托拉斯法 ● 垄断 monopoly Market with only one seller. ● 买方垄断 monopsony Market with only one buyer. ● market power Ability of a seller or buyer to affect the price of a good. 垄断 Monopoly 10.1 Average Rev