Which of the following does not hold correct about the Demsetz view of concentration and monopoly power?
A. Superior efficiency produces both increased concentration and more profits.
B. The causal link is from concentration to profitability.
C. The causal link is from efficiency to concentration.
D. The causal link is from efficiency to profit.
Answer:B
Which of the following does not hold correct about the Demsetz view of concentration and monopoly power?
A. Superior efficiency produces both increased concentration and more profits. B. The causal link is from concentration to profitability. C. The causal link is from efficiency to concentration. D. The causal link is from efficiency to profit.