Tuesday, August 02, 2005

Competition Discussion Starter????

Globalization faces more of a challenge in the developed world from the middle class. Globalization would face less of a challenge in the developing world.
Why?
Competition eliminates economic profits.
Monopoly has economic profits.
Econ profits come at the expense of someone else.
Sure the pie grows but the winners have to give up (in short run) more than they recieve, and even if they can make it again is doubtful. Bird in the hand worth two in the bush.

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