[OPE-L:6376] Re: Re: (Monopoly) Rates of Profit?

Chai-on Lee (conlee@chonnam.chonnam.ac.kr)
Mon, 30 Mar 1998 17:57:13 +0900

At 07:56 98-03-29 -0500, Jerry wrote:

>Paul C wrote on Fri, 27 Mar:
>
>> > How does Microsoft's rent factor affect the profit rate for Microsoft's
>> > competitors?
>> To the extent that Microsoft can sell products to other firms above
>> their value then these firms profits fall at Microsofts expense.
>
>Agreed.
>

But I think we have to take into account specific character of the
commodity in this case. Microsoft's Window95, the OS has, in fact, no
competitor. In theory, it has competitors. But consumers must follow suit
others' using as far as the OS is concerned. OS is a kind of language. If
my friend uses MS language, I have to use the same language to communicate
with him.

Strictly speaking, the OS is not a commodity. Application softwares can be
commodities but the OS alone is like a road or a bridge, a kind of SOC. It
is invaluable. The language shall be used free of charge.

In practice, IMO, the governments must pay for the soc and have to
distribute it with no price.

None but the best OS cannot but fail in the commoditization. And so it has
no competitors.

Softwares are intellectual products and a kind of artistic or scientif
discoveries. The demand price determines its price. A kind of natural
monopoly. It must be different from the competitive commodities.

How do you think?

Chai-on