GEB 3373 Lecture Notes - Lecture 40: Oligopoly, Tariff

• School: University of Florida
• Department: Business Administration - General
• Course: GEB 3373
• Professor: Phalin Amanda

Document Summary

Go(cid:448)er(cid:374)(cid:373)e(cid:374)t ide(cid:374)tifies key do(cid:373)esti(cid:272) i(cid:374)dustries (cid:272)riti(cid:272)al to (cid:272)ou(cid:374)try"s future gro(cid:449)th & promotes policies to increase their competitiveness. Japan: government encouraged analog hdtv, not digital. France: government subsidies funded unprofitable car, computer, military & aircraft ventures. Oppo(cid:374)e(cid:374)ts: go(cid:448)er(cid:374)(cid:373)e(cid:374)t (cid:272)a(cid:374)"t (cid:272)hoose (cid:449)i(cid:374)(cid:374)ers; go(cid:448)er(cid:374)(cid:373)e(cid:374)t support (cid:373)ay (cid:271)e politi(cid:272)al, not because of economic potential. Propo(cid:374)e(cid:374)ts: pri(cid:448)ate se(cid:272)tor (cid:449)o(cid:374)"t al(cid:449)ays support (cid:272)utti(cid:374)g-edge industries because profits are(cid:374)"t there. > us government helped develop internet, telecommunication, aeronautical/space technology. Branch of economics analyzing public decision making. Pe(cid:272)ial i(cid:374)terest groups ofte(cid:374) do(cid:373)i(cid:374)ate ge(cid:374)eral i(cid:374)terest groups o(cid:374) issues (cid:271)e(cid:272)ause . > these groups are willing to work harder for laws favorable to their interests than public is willing to work against those laws unfavorable to its interest. As a result, governments sometimes adopt policies that benfit a small group but hurt country as a whole. > 1920 jones act: restricts foreign companies from providing transporation services between us ports.