April 8, 2010
But don't monopolists raise prices?
Posted by D. Daniel Sokol
Today's WSJ reports that "Monsanto Co. signaled that it plans to lower prices of some crop seeds, retreating from its long-range profit goal amid farmers' resistance to seed-price hikes and a 19% drop in fiscal second quarter earnings." Having to lower prices amid resistance to higher prices suggests a competitive market rather than one that raises antitrust concerns.
Given the beating that Monsanto and Big Ag took at the DOJ Antitrust/Department of Agriculture Iowa hearings last month, might this sort of news constitute a rethink about Monsanto's ability to hurt consumer welfare?
April 8, 2010 | Permalink
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