Discussion
Yahoo
Amazon.com
FIFA video games
The World Wide Web has supported the functioning and establishment of Yahoo by providing an international directory and search engine for every interested user and Amazon.com by registering interested parties prior to buying goods online. It has also provided a fan base for FIFA Video game websites where video game lovers can access the online games available (McPherson, 12).
I think the World Wide Web has made it easier to start new businesses since it provides a broad customer base, a good networking platform, and a broad range of business information.
I think the World Wide Web has made it easy for companies to become monopolies since so long as a company opens a website on the internet, it gets a broad customer base considering that over 3.5 billion people use the internet as at 2015 (McPherson, 12).
Editorial
A monopoly is where there is a single seller vending a product and even though there may be close substitutes, there are high barriers to entry. The barriers could be strategic, natural or legal. Monopoly is less efficient than pure competition.
I believe that monopolies should be illegal because they tend to push out competition mainly through abuse of their monopolistic powers. They are the price setters in the market, therefore, forcing their competitors to accept the set price or risk being “priced out”. They also bully consumers by forcing them to pay higher prices while their employees are poorly paid since the company is in charge of worker’s wages (Latestaccounting.com). This proves how inefficient monopoly is in comparison to the pure competition.
The economic classical theory focuses on the national growth of wealth by creating national economic expansion and promoting policies eliminating government interference. This theory encourages flexible prices and wages, equality of investment in the market, and self-regulation of markets without interference.
Works Cited
Latestaccounting.com. "Disadvantages of an Economic Monopoly." 28 May 2013. Latest
Accounting . Web. 1 August 2016 <latestaccounting.com/business/disadvantages-of-an-economic-monopoly/#>.
McPherson, Stephanie. S. Tim Berners-Lee: Inventor of the World Wide Web. San Francisco:
Morgan Kaufmann Publishers, 2009. Internet Resource.
