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62
Economic theory suggests that monopoly will increase price and decrease quantity. However, from 1864 to 1914, real prices were falling and output was increasing in manufactured goods, transportation, and financial services. Why is that?
Explain:
2) In some local markets, competition actually increased.
Explain:
2) In some local markets, competition actually increased.
transport costs were decreasing, so firms could compete in national markets with local brands
Flashcard info:
Author: savhighsmith
Main topic: Economics
Topic: History of Economics
School / Univ.: UGA
City: Athens
Published: 12.10.2010