Micro economic OLIGOPOLY参考.ppt

* * * * * * * * Emphasize the tension between combining formerly separate goods into a product as a monopolizing action (tying agreements) and combining goods as a form of technological advancement to enhance consumer surplus (product innovation). The Microsoft defense to antitrust charges alludes to the inevitable combining of web browsers into computer operating system software. Microsoft could be truly enhancing its product but it also could be using its market power in one market to capture market power in another, more competitive market. * * * * * * * * You might want to talk about Windows and the Explorer Browser at this point as an example. * You might like to talk about John D. Rockefeller’s Standard Oil and the accusation that it engaged in this practice back in the 1890s. See /vnews.php?nid=528 for a useful source of material for a classroom discussion of this topic. * * * Notes and teaching tips: 24, 31, and 54. To view a full-screen figure during a class, click the red “expand” button. To return to the previous slide, click the red “shrink” button. To advance to the next slide, click anywhere on the full screen figure. * * * * * * * * * * * * * * * * * * * * * * * * Tell the story in the same way as for the prisoner’s dilemma. * * * * * The RD Game. This example really happened. You can flesh out the time line of developments in this industry at .mx/cricher/timeline.htm. * * * Remind the students of John Nash’s claim in the movie “A Beautiful Mind” that he had challenged Adam Smith’s idea that self-interest always leads to the social interest. * * * * Tell the story in the same way as for the prisoner’s dilemma. * * * * * The repeated prisoners’ dilemma and punishment The interesting fact about this extension of the prisoners’ dilemma is that punishment strategies can support a cooperative equilibrium, lead to maximum (monopoly) profit, and an inefficient allocation of resources. * * * * * Entry game The textbook uses the simplest possible example