Microeconomics – Monopoly Break Up

| November 30, 2015

Pareto optimality states a change is efficient as long as at least one person is better off and no people are worse off as a result of that change. This has been the notion behind the break-up of many monopolies. Advocates believe consumers are better off if monopolies are separated into smaller, competing companies. Write a one page response that answers the following questions:

 

  • Do you think consumers are really better off as a result of monopoly break-ups?
  • Are monopolies really that bad for society?
  • Do you feel that companies that operated as monopolies are better off as a result of the break-ups?
  • How are these questions relate to Pareto optimality?

Remember to submit your paper with citations and using the APA format.

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