De Beers And U.S. Antitrust Law

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Issue:

Business

 

Written by:

Luis C

 

Date added:

December 16, 2016

 

Level:

University

 

Grade:

B

 

No of pages / words:

4 / 1027

 

Was viewed:

2199 times

 

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Essay content:

Thus, this inefficiency of monopoly causes the quantity sold to fall short of social needs. In order to handle the problems, policymakers in the government regulate the behavior of monopolies and try to make monopolized industries more competitive 2. How does De Beers maintain its monopoly power? In previous years De Beers owned a key resource for diamond production – mines...
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How does De Beers maintain its monopoly power? In previous years De Beers owned a key resource for diamond production – mines. The monopoly’s power stemmed from the company’s ability to collect the world’s rough diamonds and send them out again, anonymously and bereft of origin. Because of turmoil which the company was facing on all fronts: illegal flow of diamonds from Sierra Leone and Angola, Russia’s diamond fiefdoms, etc; the formerly closely-held corporation had to undergo some rapid changes...
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