2019-05-21 12:37:00 Tue ET
technology antitrust competition bilateral trade free trade fair trade trade agreement trade surplus trade deficit multilateralism neoliberalism world trade organization regulation public utility current account compliance
Chicago finance professor Raghuram Rajan shows that free markets need populist support against an unholy alliance of private-sector and state elites. When a few corporations dominate the U.S. economy, this oligopoly inevitably teams up with the primary instruments of state control for greater rent protection, political clout, and economic power concentration. Regulatory efforts should thus strike a delicate balance between legitimate antitrust scrutiny and capitalist productivity. In the post-modern era of global supply chains, American corporations benefit from enormous economies of scale and scope, network effects, and real-time data analytics for continual efficiency gains and performance improvements.
For instance, Amazon uses fast algorithms to learn from its internal real-time data to optimize delivery times, retail prices, and customer services etc; Facebook and Google applies artificial intelligence to optimize the dual-platform experiences of both mobile web users and advertisers; Apple monopolizes iOS app usage on its proprietary App Store online marketplace. These oligopolies often leverage their market power to charge higher mark-ups to the detriment of active users worldwide. Despite these key anticompetitive practices, the right regulatory response requires rebalancing the current oligopolistic industries to promote meaningful competition. U.S. capitalism needs bottom-up populist reforms and democratic communities to preserve trust in the vibrant market economy.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2020-04-03 09:28:00 Friday ET
The Intel trinity of Robert Noyce, Gordon Moore, and Andy Grove establishes the primary semiconductor tech titan in Silicon Valley. Michael Malone (2014)
2019-01-27 12:39:00 Sunday ET
British Prime Minister Theresa May faces her landslide defeat in the parliamentary vote 432-to-202 against her Brexit deal. British Parliament rejects the M
2024-07-31 09:28:00 Wednesday ET
In the modern monetary system, each new CBDC helps anchor public trust in money in support of economic welfare, especially in a cashless society. In our
2017-07-01 08:40:00 Saturday ET
The Economist interviews President Donald Trump and spots the keyword *reciprocity* in many aspects of Trumponomics from trade and taxation to infrastructur
2019-04-19 12:35:00 Friday ET
Federal Reserve proposes to revamp post-crisis rules for U.S. banks. The current proposals would prescribe materially less strict requirements for community
2023-07-07 10:29:00 Friday ET
Louis Kaplow strives to find a delicate balance between efficiency gains and redistributive taxes in the social welfare function. Louis Kaplow (2010)