and oligopsonies by themselves can lead to suboptimal outcomes, taken together--a situation economists call a bilateral oligopoly--each side's market power is tempered by the other, and the net result often approaches the efficient market outcome.
It is important to emphasise that tight oligopolies
may still result in a good outcome.
The free import of skimmed milk reinforced these oligopolies
by allowing them to manufacture' milk rather than purchasing fresh milk on better prices from the farmers thus deterring investment on livestock and breeds.
It seems paradoxical, but unfettered market competition tends to degenerate into market oligopolies
As food systems became increasingly dominated by ultra-processed products, fast food, and soft drinks, food oligopolies
made enormous profits and acquired the power to set prices at will and determine the terms and conditions of their market sectors.
By restricting an operator's ability to exploit the current national oligopolies
, the European commissioner hopes to urge operators to cooperate.
To stimulate competition, "new market entrants are needed because the market is closed for now, there are oligopolies
," said Genna.
Monopolies and oligopolies
are antibusiness, anti-SME and anti-competition.
The most urgent problem for competitivity in the EU energy market is acting vigorously against cartels," said Turmes, arguing that some 95% of the electricity and gas market is controlled by 12 energy oligopolies
They show that the presence of a public firm actually harms welfare when the total number of firms is more than two and less than six, the type of tight oligopolies
governments might be most interested in controlling.
Measuring market power in multi-product oligopolies
It's inexcusable that in Honduras there exists oligopolies
of big chains of news media, print, radio, television," he said.
levels of market concentration]"; and that prosecuting oligopolies
is futile because, as he sees it, no remedy is available.
A critical characteristic of many oligopolies
is the requirement of high capital investment to build capacity, which results in high fixed costs.
1) Mixed oligopolies
are common in developed, developing, and former communist transitional economies.