Opinion: AG Bonta’s Amazon lawsuit leaves consumers with a lump of coal
Just in time for the holiday shopping season, California Attorney General Rob Bonta is bringing a lawsuit against Amazon for policies that have helped many buyers find what they are looking for and get the best online deals.
Economists are virtually unanimous that horizontal agreements are significantly more dangerous than vertical ones. Recognizing this, U.S. courts evaluate vertical agreements on a case-by-case basis. By contrast, many horizontal agreements—including cartels—are prohibited outright. With his suit against Amazon, Bonta is trying to circumvent this tried-and-true principle.
They also encourage e-commerce sites to improve their services. With PPCs, consumers have less incentive to use one platform to search for goods and another to buy the thing they are looking for. This means that all retail sites have an incentive to invest in having a good search function and easy consumer interface, rather than sacrificing both in favor of competing on price.
That is not to say that PPC clauses never create problems for consumers. They can sometimes make it harder for new retailers to compete with incumbents by offering lower prices. In a sane world, courts would judge the effects of Amazon’s policy carefully based on whether it is reasonable—a standard known in antitrust law as the rule of reason.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fitness enthusiasts' dream watch Garmin Vivoactive 4 is unbelievably affordable at AmazonThe feature-packed Garmin Vivoactive 4 is finally affordable enough to buy.
Read more »
Opinion | The Rise of Celebrity-Politicians Is Bad for Democracy'The direct line between celebrity and political ascendance is altering the conventional dynamics of political power in anti-democratic ways,' writes HeatherGautney.
Read more »
The Nov. 8 election results brought a sign of relief in Pennsylvania | OpinionVoters came to the conclusion that democracy mattered.
Read more »
Study reveals reasons behind women's sports growth including TV presence, youth movement | OpinionStudy finds younger generations have the fastest growing appetite for women's sports: 39% of Gen Z fans said they are watching more now than year ago.
Read more »
Opinion | Fossil Fuel-Funded Research Is a Dealbreaker for College ApplicantsWhen universities accept money from the fossil fuel industry, they demonstrate a complete lack of regard for their students' futures.
Read more »
Opinion | Kevin McCarthy can't winIf Republicans get a majority in the House, it will be too narrow for McCarthy to survive for long.
Read more »