Strategy that United Kingdom had chosen was selling 5 licenses during classical ascending auction. Auction resulted in huge revenues: 650 euros per capita. Firstly it should be said that auctions as any normal business activity should be competitive in order to be effective. UK spectrum auction was relatively competitive attracting 13 participants. There are several reasons why this action attracted so many participants. Firstly, UK was the first country in the world to hold spectrum rights auction. Participants were not completely aware of the usefulness of 3G cell phones, but were eager to get competitive advantage in the new generation mobile communication technology. Secondly, UK sold 5 licenses to the market with 4 major phone operators. This fact attracted new entrants, since at least one of the licenses can be potentially won by new entrants to the market. Both this facts generated highly competitive auction environment and limited possible collusions. Result of the auction was a huge success for UK government.
Term. The discipline was renamed in the late 19th century primarily due to Alfred Marshall from "political economy " to " economics " as a shorter term for ...
the economy affects everyone. Gas prices, food costs, utility costs (water, elec.) You can go from any of these angles, or you report on the plethora of problems it’s having right now.
We could easily replicate this analysis for almost every processed or manufactured food in the typical supermarket. Then we could reflect on the complexity of serving food, not in a home kitchen, but on an airplane flying more than 600 miles per hour and 37,000 feet in the air, cooked in a tiny galley for hundreds of people at a time.
Nowhere will that be more evident than in the vital area of our economic activity. Here, at the heart of our society, as this Essay demonstrates, not only our thinking, but our practice, and with it the relative importance of wealth and learning, will be rapidly reversed.
Not incidentally, these are the same people who want you and most others to believe in the fiction of an immutable “free market.”
If we want to reduce the savage inequalities and insecurities that are now undermining our economy and democracy, we shouldn’t be deterred by the myth of the “free market.” We can make the economy work for us, rather than for only a few at the top. But in order to change the rules, we must exert the power that is supposed to be ours