Antitrust laws forbidding "intent to monopolize" are problematic for network goods because:
A) each firm just wants a small share of the market.
B) all firms are competing "for the market." They are all trying to monopolize.
C) consumers are made worse off by the contestability of markets for network goods.
D) consumers are better off when markets are not contestable.

Question

Quizplus · Accepted Answer

Antitrust laws that forbid "intent to monopolize" may be problematic for network goods because firms in these markets are all competing for a larger share of the market. Unlike in traditional goods markets, where each firm wants to maximize its own market share, in network goods markets, firms are trying to monopolize the entire market. Therefore, the "intent to monopolize" antitrust laws may be difficult to apply in network goods markets.

Antitrust Laws Forbidding "Intent to Monopolize" Are Problematic for Network