[lbo-talk] the gains from variety

[Michael Perelman]

On Thu, Mar 11, 2004 at 02:15:47PM -0500, Wojtek Sokolowski wrote:
> WS:
> I am not sure what you are arguing here.  Is it that choice is actually
> bad because of transaction cost?  Or is it that the available choices
> are not actual choices but a ruse designed to disguise crowding out
> alternatives?  

Several points are intertwined here.

1. Some of what appears to be a question of choice is really a form of
product obsolescence.

2. Some of what appears to be a question of choice is merely a way of
corporations gaining shelf space, which reduces potential entrants.  In
this sense, what appears to be choice is a form of restricting other
potential choices.  You got that one.

3. Some choices overwhelm people making it more difficult to evaluate
what is in their best interest. Not quite transaction costs.

 -- Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
E-Mail michael at ecst.csuchico.edu