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What should we think of chain stores?

by Learn Liberty

Are chain stores good or bad? According to Prof. Art Carden, there are reasons to both like and dislike chain stores. The reasons to like chain stores include their ability to lower prices, increase variety, and reduce uncertainty. However, chain stores also do things to dislike such as pursuing special government privileges like subsidies and eminent domain.

Essentially, when chain stores respond to the incentives of the market, they create wealth for society. On the other hand, when chains stores respond to the incentives of the political process, they often produce detrimental effects for society.

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Resources

You can make use of the following text and video to expand your knowledge and understanding of the topic covered in this unit.

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Capitalism In One Lesson

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Do You Want To Live In The World Of Atlas Shrugged?

Edgar The Exploiter

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Myth Of The Free Market

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What Is The Free Market?

What Should We Think Of Chain Stores?

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