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15 Mixed Economic System - Coggle Diagram

- - - - lower consumers' disposable income
    - - govern tax firms' profits
  - - - removal of barriers to entry/exit markets
      - regulation of monopolies
      - prohibition of uncompetitive practices
      - prevention of mergers
    - - Predatory pricing
        
        firm charging a price below the cost to drive a rival firm out of the market
      - Limit pricing
        
        set price low enough to discourage entry of new firms
  - - - can be backed up by law
      - easily understood
    - - need people to agree
      - ay reduce market flexibility
      - govern has to check on (difficult+expensive)
  - - - pros
        
        would not abuse market power
        
        decisions involve full costs+benefits
        
        low price+good quality
        
        easier planning+coordination
      - cons
        
        need subsidy (opportunity cost)
        
        may be inefficient
        
        difficult to manage control
      - owned by govern, do not seek to make profit
    - - pros
        
        less risk of under-investment投资不足
        
        greater choice
        
        produce products desired by consumers
      - cons
        
        may be inefficient due to monopoly
        
        may not take into account all costs+benefits
        
        may be monopolies
  - - - social costs exceed social benefits
        
        govern does not proceed project
      - social benefits exceed social costs
        
        go ahead (opportunity cost)
- - - - queuing, rationing, lottery
  - - - bought up by govern