You are on page 1of 16

1

....................................................................( Monopolies in the )omanian economy ...............................3 Classification of monopolies.....2 What is Monopoly?...........................................................................# Monopoly 'owe ........4 2)Natu al monopoly.....! 4)Technological monopoly.....................................................................................................................................................................................................................................................# !)T a$ema % monopoly.........................................................................Table of Contents Table of Contents......................................................................# #)Monopoly e&e cise$ th ough cont ol of inputs.........................................................................................................................1! 2 .....................................................................................................................................................................................................................................! 3)"egal monopoly...................................................................................................................................................4 1)Collusion between big companies....................................................................................* +ibliog aphy................

What is Monopoly? Monopoly is a ma %et st uctu e with the following cha acte istics.en when monopoly is p otecte$ by law 3 the autho ities $o not allow i. 4lthough the e is a ma %et that featu es fully meet the ma %et st uctu e of monopoly0 the monopoly use of a fo mal mo$el allows un$e stan$ing the beha. 2. 1) a ely can fin$ a ma %et whe e one company ope ates0 2) a ely can i$entify a p o$uct fo which the e a e no substitutes an$ 3) no fi m is pe fectly p otecte$ f om ent y of othe competito s in the ma %et.io of fi ms ope ating in such ma %ets.als ente ing the ma %et.al fi ms to ente the ma %et 3 a e li%ely to change the law. 3 .e ing othe $eposits. ma %et the e is one company that sells a uni-ue p o$uct which is p otecte$ f om i. 1o e&ample0 owne ship of a a e mine al $eposit is a p etty goo$ p otection0 but the e is the possibility of $isco. /n eal wo l$ con$itions can only be app o&imate$ monopoly because. This is an i$eal st uctu e.

e 0 it ta%es many fo ms an$ ha. The efo e the nee$ a ises f om the .elopment nee$s.elop0 an$ the fo ms it ta%es. /n ma %et economies monopolies ta%e $iffe ent fo ms0 such as. 4 . 5ighlighting the main causes of the eme gence an$ maintenance of monopolies in a ma %et economy can actually constitute an$ a fi st e&planation of thei occu ence0 a eas in which they $e.Classification of monopolies The eme gence of monopolies is base$ on se.e $iffe ent oles an$ functions in a national economy. 4mong these a e mo e easily achie. 1)Collusion between big companies Concent ation of p o$uction an$ accumulation of capital th ough pu chases an$ me ge s an$ companies an$ fi ms on ho i6ontal an$ .e$ sec et $eal to sha e ma %ets0 setting p o$uction -uotas an$ si6e of the selling p ice of p o$ucts on the ma %et.e ise to causes an$ cont ibuting to thei $e. 5owe.e al easons.e tical line esults in e$ucing the numbe of competito s.e y beginning to ma%e thei classification0 ta%ing the fo m of monopolies an$ the main c ite ia that gi.

e ything.estment. :oubling o t ipling these netwo %s only wish that the e woul$ be competito s in economically i ational0 since on the one han$0 woul$ e-ui e a $oubling o t ipling the .olume of in.2)Natu al monopoly ' e9 '2 The CTM pe te men lung economy of scale in '1 ce tain a eas C Mg 8enit cont ibute to lowe ma ginal Ce e e p o$uction costs to an e&tent such that othe fi ms with a lowe 72 71 .e e. 3)"egal monopoly The e a e ce tain p o$ucts o secto s of st ategic inte est . The e a e classic e&amples of elect icity $ist ibution netwo %s0 gas an$ wate 0 $ist ict heating netwo %s0 i igation systems0 the netwo % of ailways. Meanwhile0 in ce tain a eas o economically o technologically not possible e&istence of se.e coul$ achie.ity coul$ not each such a Cantitate pe fo mance.e al competing companies because it woul$ mean spen$ing too much in.e collusion to fi& p ices an$0 in fact0 the p oblem of esto ing competition woul$ not sol.estment0 on the othe han$0 between these ente p ises ha.olume of acti.national $efense) an$ the public inte est to be sub<ect to public sc utiny /n this connection may be mentione$ those of the health secto o the public to be cont olle$0 such as0 fo e&ample0 ! .

e tising pe sistently by the se iousness an$ p omptness with which custome s a e se . /n contempo a y con$itions0 technological monopoly is wi$esp ea$ because0 on the one han$0 systems in which the esea ch an$ inno.e new p o$uct o new technology o.e isotopes0 the p o$uction of money0 stamps0 etc. mainly $ue to thei a ity an$ impo tance of owne ship of $eposits.manufactu e an$ $ist ibution of pha maceutical $ ugs o substances .ention patents an$ copy ight0 which gi.elopment0 the main gene ato of the inno. 4)Technological monopoly Mostly f om owne ship of in.estment in a$.1! to 1( yea s fo patents) 4lso any manufactu e new p o$uct sol$ on the ma %et has a pe io$ of monopoly position0 which will ta%e time until othe companies will come on the ma %et with simila p o$ucts o substitutable.ation0 an$ on the othe han$0 conce ns to stimulate an$ e&pan$ esea ch an$ $e.e the whole pe io$ p esc ibe$ by law .ation p ocess.es the in.ento o autho e&clusi.mo phine) p o$uction an$ ma %eting of tobacco an$ alcohol0 an$ p o$uction an$ use of = anium0 the a$ioacti. ' o$uct image c eate$ by the o iginal mo$els f om time to time enewe$0 an$ gua antee p o$uct -uality a e elate$ to t a$ema % that is uni-ue0 un epeatable an$ ecogni6e$ as an in. # .e cont ol o. #)Monopoly e&e cise$ th ough cont ol of inputs >uch as ene gy0 some mine al bau&ite0 coppe 0 tin0 etc. !)T a$ema % monopoly To$ay inclu$es a la ge numbe of p o$ucts of mo$e n in$ust y.e$.

Monopoly powe is ma&imum when ma ginal cost is 6e o..e p ice fo a goo$0 that if the e was f ee competition woul$ ha. When p ice an$ ma ginal cost a e e-ual0 the ma %et is in a situation of f ee competition an$ monopoly powe is 6e o. /n eality0 it is mo e co ect to spea% of monopoly powe to efe to la ge o smalle $eg ee in which a company can influence p ice o p o$uct.Monopoly 'owe 4ll p o$ucts ha.e been f ee. /f any company comes to monopoli6e wheat ma %et0 p o$uce s woul$ continue to suffe competition f om ye0 ba ley0 etc. 4nothe facto influencing the powe monopoly is the elasticity of $eman$. /f / sai$ the e is no f ee ma %et with competition0 it must be sai$ at once that the e is no pu e monopoly.e a substitute mo e o less goo$. Monopoly powe $epen$s on the $iffe ence between p o$uct p ice an$ ma ginal cost. a lowe elasticity g eate powe /f an asset whose monopoli6ation claim is totally ( . at that point now sets a positi.

The esult is a %in$ of monopoly ma %et that is calle$ competence. ?n the one han$0 became necessa y to $efine the types of monopoly p e.igi$0 coul$ set any p ice now.ailing in )omanian economy to e&pan$ awa eness an$ app eciation of them.e tising techni-ues.e al easons. Monopolies in the )omanian economy /n ou count y0 p oblems of monopoly a e of a pa ticula place. The e&istence of eplacement goo$s is mo e elastic $eman$ an$ e$uces monopoly powe . ?n the othe han$0 is full of g eat %nowle$ge econsi$e ation of monopoly0 monopolistic competition an$ ma %et mechanisms functioning mo$e n economy. 4s fo many people these p oblems a e new0 thei theo etical cla ification has become necessa y fo se.e misconceptions0 wi$esp ea$ in ou count y in the last fou $eca$es by Ma &ist economic lite atu e0 with simplifying things0 phenomena often p esente$ in a biase$ way 3 on the one han$0 c itics of the st uctu e an$ functioning ma %et economy an$ on the othe han$0 the apology fo the * . Companies can thus inc ease thei monopoly powe o $ec easing the p o$uct substitutability o 0 in othe wo $s0 it $ife ientiin$u f om those of competito s.e$ th ough small changes in $esign0 supplements0 pac%aging0 financing an$ especially th ough a$. • To emo. ' o$uct $iffe entiation is achie.

elopment of all fo ms of o gani6ation of economic entities an$ the use of a mechanism an$ management tools essentially monopolistic natu eA  total subo $ination of the economic element to the political element0 which e-ui e$ the int o$uction of the economic life B . /n )omania0 as in othe neighbo ing count ies0 the monopoly was establishe$ in a well3 ennet0 the socialist p ope ty an$ the gene al p inciples of o gani6ation an$ management of the cent ali6e$ economy.en manufactu e with monopoly of state owne ship in all secto s of the economy.  gene ali6ation p ope ty of the coope ati.estigation0 ta%ing as a c ite ion fo e.e y $i. ?nly in this way will be emo.al of all ph enic facto s of the economy0 inclu$ing the impo tant at p esent is closely wo.aluating economic efficiency. cont ol of p ice le.socialist economy0 in both cases ma%ing use of concealing the t ue state of affai s an$ facts.ely sho t time to $ominate all sphe es of economic an$ social acti.e choices0 the co ect solution fo the establishment in )omania of the fo ms of competition to enable the emo.e %nowle$ge of economic systems0 thei way of o gani6ation an$ management0 calls fo a b oa$ %nowle$ge of scientific in. • To fo mulate a set of accu ate mo$els as close to eality .e se an$ thei c itical compa ison.el an$ -uality of output0 consumption by e&e cising $ictato ship p o$uction subo $ination of consume inte ests of p o$uce s.e$ an$ false clich@s theo etical economic p actice will be able to ha. • To achie. T aining an$ $e.ist type0 which e-ui e$ the $e.elopment of this system is base$ on causal e&planation0 among which we mention the following.e state an$ collecti.e the ob<ecti. Monopoly has e&pan$e$ api$ly0 eaching a elati.ity an$ the enti e economic mechanism0 acting in the following ma<o $i ections.

es).e$ almost all the elements gene ating competition. What a e the elements of monopoly in )omania that will continue to hin$e the competiti.elop a gene al fun$ competition in )omania0 cent ali6e$ economy was fo me$ an$ consoli$ate$ a comp ehensi.sales coope ati.e basic esou ces. 1C .ate p ope ty begins the gene al fun$ of the monopoly system0 to appea an$ $e.a ious comme cial in$ust ies.elopment of p i.elop competiti.e p inciple.ital esou ces of the economy by autonomous mining secto . Maintaining coope ati.ent an$ $e.olitional0 an$ cent alist a$minist ati.e fo ms of o gani6ation typical monopolist in the fiel$ of small in$ust ies0 han$ic aft wo %shops an$ in$ust ial goo$s in u al a eas of sales .oil0 gas0 elect icity)0 in manufactu ing0 t anspo t an$ telecommunications secto s an$ maintaining >tate capital in the company0 %eeping the state a$minist ation of esea ch0 e$ucation0 health0 also maintaining state owne ship of a fifth of the best an$ most fe tile ag icultu al lan$0 fo ests0 i igation systems0 the state hol$ing of ma<o ity sta%es in companies .e y la ge units towa $s in.e elationships in t aining? Maintaining state monopoly as the owne an$ a$minist ato of the . This will pe petuate the state monopoly o. >o this system will be cont olle$ by the main inputs that will not stimulate the economy0 but will continue to annihilate competition. ?nly with the a$.e system.e all an$ by concent ating thei p o$uction at a single manufactu e system that co espon$e$ to the cent ali6e$ management of an a$minist ati.of political p inciples 3 .estment an$ me ge an$ consoli$ation p ocess of small unitsA  monito ing an$ ca ying out the speciali6e$ units of the whole in$ust y by eliminating $uplication in manufactu ing o. /f the ma %et economy can not spea% of a monopoly0 but athe monopolistic elements that a ise an$ $e.e cont olA  concent ation of p o$uction in la ge an$ .e monopoly0 f om which they we e emo.

p ecisely because the system is monopolistic o gani6ation.i.).e system in this secto 0 o gani6ational fo ms0 $i ectly an$ in$i ectly cont ols the o.elopment of mo$e n manufactu ing technologies in.eloping the elations of ma %et economy an$ e.e y secto which shoul$ sta t $e.e competition is mo e conse .ity of the components an$0 abo.machine buil$ing0 elect ical0 elect onics0 chemist y0 metallu gy0 etc.e all0 the p ices an$ ta iffs0 the manufactu e0 asso tment0 -uality p o$ucts an$ se .en in a eas of buil$ing mate ials0 whe e $eman$ is la ge an$ $i. =n$e the label of autonomy0 the coope ati.e in this ega $.i.e se an$ t anspo t of aw mate ials an$ p o$ucts is e&pensi.ing a ce tain .olume of p o$uction0 etc.e .e the e0 f e-uently0 uni-ue p o$uce s th oughout the count y.ices0 etc.ation of the absolute supe io ity of economies of scale.e all acti.:espite its status to semi3state coope ati. >mall p o$uction of in$ust ial goo$s0 along with the fa m can help e. /n this connection may be mentione$ p o$ucts.ats0 non3 11 .ocation has become a b a%e on the t ansition to an economy base$ on f ee competition.i$e$ by only one manufactu e o a small numbe of p o$uce s by eason of the minimum batch si6e0 specialty insu ance0 the $e.iously e&ten$s the pa a$o& 3 the .a%ia.e the ma %et economy0 with the con$ition of $emonopoli6ing this secto . +ut to cha acte i6e the $eg ee of monopoli6ation0 not the si6e of the business itself is impo tant0 but also la ge companies that only manage to p o$uce a la ge numbe of copies of the same p o$uct0 so that $uplication is eliminate$ o 0 othe wo $s0 the e is only one manufactu e o to the whole count y o the geog aphical a eas as la ge0 which e&clu$es0 as a ule0 in p actice0 competition between p o$uce s.ol.ati6ation0 which is an obstacle to competition an$ ob. The e&istence in ou count y an in$ust ial system with a high concent ation of p o$uction0 that the sole moti.ati.e is not sub<ect to p i. +y some estimates0 )omania is in te ms of si6e in$ust ial units in secon$ in the wo l$ afte C6echoslo. This secto 0 with most competiti. ?utput is p o. 2. 1o e&ample0 in many in$ust ies . '8C wallpape 0 ce amic tiles gla6e$0 enamele$ cast i on .

e 0 $ec ease$ pu chasing powe of people. Ta%ing a$.o able con$itions emphasi6e the beha.antage an$ the $et iment of consume s an$ society as a whole.. /f the e we e . The e&istence of the gene al sho tage of p o$ucts an$ complete libe ali6ation of p icing is fa. 4n igno ance of this eality o an un$e estimate of this phenomenon has c eate$ an$ continues to c eate g eat $ifficulties in implementing measu es to t ansition to a ma %et economy.e y p ocess of t ansition to ma %et economy in the face of many people.io of monopolistic fi ms p o$ucing them acting on thei own an$ without any est ictions c eate$ by public cont ol.antage of the ch onic gap between supply an$ $eman$0 the latte being much la ge companies 3 whethe o not the only manufactu e 3 set p ices an$ %eep p o$uction inc ease$ at a low le.el so that they coul$ co. Concent ation of p o$uction on a la ge numbe of p o$ucts usually singula p o$uce s e&pan$e$ scale so la ge as this p actice is pe fectly insc ibe$ on the one han$0 cent ali6e$ management system of a$minist ati.e y insistent wage $eman$s woul$ g a$ually 12 .antages fo the manufactu e . The anomaly comes f om the fact that the manufactu e %eeps the $ictato ship of p o$ucti.e an$ unp o$ucti. To$ay this state of things became incompatible with the t ansition to ma %et economy as gene ato s without competition0 ma %et mechanisms can not ope ate o ope ates $efo me$.e0 on the othe han$0 implementation of the p inciple of speciali6ation of in$ust ial units with %nown economic a$.fe ous metal fittings fo plumbing an$ inte io sheet bathtubs0 $ ain pipes an$ sanita y enamele$ cast i on0 etc. 1o e&ample0 the shift to p ice libe ali6ation0 un$e the p e.e consume 0 monopolistic company e&e cising complete cont ol of p o$uct p ice an$ p o$uction .e all costs an$ to obtain an$ a supe p ofit. Ten$ to inc ease p ices an$ maintain low p o$uction ..olume to its a$.ailing monopoly p o$uce s in almost all economic secto s an$ the gene al con$itions of a sho tage of p o$ucts0 t igge e$ an ana chic inc ease of $isc etiona y p ices0 wo sening economic c isis0 the $ange of comp omise0 the .olume is limite$0 howe.

ice of economic an$ financial oliga chy.e the establishment of competition outsi$e of the p i.e 0 satisfying the $eman$s to inc ease wages by in$e&ing0 maintaining the gap between supply an$ $eman$0 along with moneta y inflation an$ an agg essi. Ma%ing fu the p i.ati6ation t aining shoul$ inclu$e p epa ation fo ope ation an$ competiti.io 3 the manufactu e to the consume . /n economic theo y an$ p actice a e issue$ nume ous app oaches an$ solutions on the line $e3monopoli6ation o establishment of competition.i$e$ on p i.i$e$ by p o$uce s an$ monopolistic actions woul$ mitigate.+ut it can not be neglecte$. /tDs mainly th ee ma<o catego ies of actions. Monopoly manufactu e is maintaine$ an$ p o. /t is a $eeply $isto te$ economy0 not put in the se . Natu ally0 the p ocess is lengthy an$ e-ui es a la ge in. +ut these two0 p i.e con$itions0 to consi$e so3calle$ bu st of o gani6ation system base$ on the p inciple of a single manufactu e . /t is often a gue$ that monopoli6e p ocess must accompany the p i.e monopolist p ese .ati6ation0 steps which a e as complicate$ an$ e&pensi.ati6ation by maintaining monopolistic p o$uction systems that a e p e.alent in the )omanian economy0 o.ati6ation.e ma %et economy. 13 . /n sho t0 these a e the main causes an$ conse-uences of monopoly0 an$ the fo ms it ta%es this phenomenon in ma %et economies0 as in that of ou count yDs economy.ate p ope ty.e all economic system $oes not tu n into a eal competiti.ati6ation ta%es place only $ismantling the state monopoly on the p ope ty. .each a balance between supply an$ $eman$0 ising p ices p o.ati6ation an$ $e3monopoli6ation must not be confuse$. The fi st efe s to the c eation an$ E o et aining of in$ust ial units fo the p o$uction of simila o substitutable. ' i.e.es of units li%e p i.estment an$ o gani6ational effo t. 5owe.ice consume 0 but in the se . ?ppo tunity most lea$ to such a la ge p o<ect is the p epa ation fo p i. 1u the steps in. /n fact0 the main ob<ecti.ati6ation of economic entities.ing beha.ol.

e policy of impo t competition may be cancele$0 in p actice0 fi ms ten$ also impose monopoly p ices an$ to manipulate the le.elopment of antimonopoly legislation an$ the p otection of competiti.ities such as fo mal o info mal a$option a angements0 the fo mation of associations an$ o gani6ation systems0 etc.e mechanism fo its enfo cement is of pa ticula impo tance fo the cu ent phase of the )omanian economy. Consi$e 0 b iefly0 still fi m monopolistic beha.e acti.ity. Th ough an acti.The secon$ catego y efe s to the a$option action cu ent antimonopoly policy towa $s the impo t of simila p o$ucts manufactu e$ by local monopolies. The efo e0 it must be state$ in the egulations that limit f amewo % in which economic agents ha.e the ight to act an$ associate fo not cont a.e. : afting of such legislation an$ an effecti. 14 .e $ocuments shoul$ set the limit of pu suing economic acti. 1o e&ample0 ag eements between business units to fo m o gani6ational systems base$ on p inciples of hol$ing companies0 although seem ational in te ms of economics an$ management0 in te ms of competiti. The thi $ catego y of actions is the $e.io in the ma %et mechanism0 namely0 how it sets its selling p ice0 which functions an$ how these functions a e use$ in the analysis of p ice an$ p ofit an$ is the efficiency of monopoly compa e$ with that of f ee competition.ene the p inciples of competition.el an$ -uality of p o$uction.e economy they can be counte p o$ucti. No mati.

20 2$.  +e na $ Fue ien0 2conomia neoclasica0 2$. Fogoneata0 2conomie politica0 Teo ia mic o si mac oeconomica0 'olitici economice0 2$.+ucu esti 0 1BB! 1! . 5umanitas0 +ucu esti0 1BB4  2conomia politica0 4>20 2$. 2conomica0 'a is0 1B*3  Fhe asim0 Mic oeconomie0 . Fogoneata0 4.+ibliog aphy  F.ol. 2conomica0 +ucu esti0 1BB!  M. :i$actica si 'e$agogica0 ).4. Flais0 Mic oeconomie0 2$. 1 ois0 2conomia politica0 2$. 5umanitas0 +ucu esti 0 1BB30  C. 4. 2conomica0 +ucu esti0 1BB4.

htm 1# .EEwww.EEmises. http.eume$.netEeco omE8///. oE2C4E  http.G2CG2C'ietele G2Cneconcu entialeE2G2Cmonopolul.