15.8.03

COMPETING AWAY THE GAINS FROM TRADE. Financial Aid Office notes that tuition discounts pay off to universities that use them, if few other universities use them, but may mean lowered revenues, if many universities use them. D'oh! The point of competition is to discover and act on all possible gains from trade. That some enterprises may lose money or fail as part of that discovery is a feature, not a bug.

No comments: