Question

What is your personal definition of economic monopolies? Provide one recent monopoly and one recent antitrust policy topic in the news, include the source link. Write a paragraph about the news topics.

Answer 1

Monopoly refers to the market where only single firm exists. Such firm tends to charge higher price from customers. It reduce consumer surplus.

Government always makes efforts to penalize economic behavior of firms that lead to the monopolist practices.

Example:

Recently in Ohio Vs American express case, court has invoked anti trust law against the behavior of Amex which prohibits merchant from disclosing discount to customers if they use less expensive credit card. Court holds that it is anti competitive action.

Source:

https://www.forbes.com/sites/washingtonbytes/2018/02/27/do-monopoly-platforms-deserve-special-treatment-under-antitrust-review-of-ohio-v-american-express/#493bcdff5b1d