In economics, government monopoly (or public monopoly) is a form of coercive monopoly in which a government agency is the sole provider of a particular good or service and competition is prohibited by law. Economics is the social science that studies the production distribution, and consumption of goods and services. In Economics and Business ethics, a coercive monopoly is a business concern that prohibits competitors from entering the field with the natural result being that For the government of parliamentary systems see Executive (government. It is usually distinguished from a government-granted monopoly, where the government grants a monopoly to a private individual or company. In Economics, a government-granted monopoly (also called a "de jure monopoly" is a form of Coercive monopoly by which a government grants exclusive privilege
A government monopoly may be run by any level of government - national, regional, local; for levels below the national, it is a local monopoly. The term state monopoly usually means a government monopoly run by the national government, although it may also refer to monopolies run by regional entities called "states" (notably the US states). A US state is any one of the fifty subnational entities of the United States of America that share Sovereignty with the federal government
Examples
In many countries, the postal system is run by the government with competition forbidden by law in some or all services. Mail, or post, is a method for transmitting information and tangible objects wherein written Documents typically enclosed in Envelopes and also Also, government monopolies on public utilities and railroads have historically been common, though recent decades have seen a strong privatization trend throughout the industrialized world. A public utility (usually just utility) is an organization that maintains the Infrastructure for a public service (often also providing a service using "Railroad" and "Railway" both redirect here For other uses see Railroad (disambiguation. Privatization is the incidence or process of transferring ownership of business from the Public sector (government to the Private sector (business The term developed country, or advanced country, is used to categorize countries with developed Economies in which the tertiary and quaternary sectors
In the United States the police system is a monopoly.
In Scandinavian countries some goods deemed harmful are distributed through a government monopoly to reduce the harmful effects. For example, in Finland, Norway and Sweden, government-owned companies have monopolies for selling alcoholic beverages. Finland, officially the Republic of Finland ( is a Nordic country situated in the Fennoscandian region of northern Europe. Norway ( Norwegian: Norge ( Bokmål) or Noreg ( Nynorsk) officially the Kingdom of Norway, is a Constitutional "Sverige" redirects here For other uses see Sweden (disambiguation and Sverige (disambiguation. In Finland, government has also a monopoly to operate slot machines.
Governments often create or allow monopolies to exist and grant them patents in order to help grow a nation. This will limit entry and allow the patent-holding firm to earn a monopoly profit from an invention-a reward for developing the new product. Without it incentives would fall.
In the United States, public education is a de facto monopoly.
Health care systems where the government controls the industry and prohibits competition, such as in Canada, are government monopolies. Health care in Canada is funded and delivered through a Publicly-funded health care system with most services provided by private entities [1]
See also
- crown corporation
- nationalization
- Salt commission
- government-granted monopoly
- coercive monopoly
- natural monopoly
- monopoly
- alcohol monopoly
References
In the Commonwealth realms a Crown corporation is a State-controlled company or enterprise Nationalization, also spelled nationalisation, is the act of taking an industry or assets into the Public ownership of a national government The Salt Commission was an organization in Tang China used to raise Tax revenue from the state Monopoly of the Salt trade In Economics, a government-granted monopoly (also called a "de jure monopoly" is a form of Coercive monopoly by which a government grants exclusive privilege In Economics and Business ethics, a coercive monopoly is a business concern that prohibits competitors from entering the field with the natural result being that Natural monopoly is a term used in Economics to refer to two different things In Economics, a monopoly (from Greek monos, alone or single + polein, to sell exists when a specific individual or enterprise has sufficient An alcohol monopoly is a Government monopoly on some or all Alcoholic beverages, such as Beer, Wine and spirits.Dapyx Software network: MP3 Explorer | Ebook Manager | Zenithic