How Does A Capitalist Economy Controls A Monoply?
tyneen; There are two ways that a capitalist system controls a monopoly; through regulatory commisions and through law… In some cases a monopoly is a good thing for society in that it eliminates a duplicating of efforts and infrastructure…For instance, if we had many companies trying to provide electric power to the same geographic area, we would end up with power poles and wires all over our streets and roads…So what we do for these types of situations is form commissions to over see and regulate the one company who has the responsibility for providing power to a certain piece of geography; maybe a town or county or maybe even a state…The commission tells the company what they can charge for power and they review the terms and conditions and policies of the company for fairness to the consumer…The meetings of the commissions are public meetings so that the general public can provide input into the process. If the situation is not similar to the above and it would not generat
