> In fact, increased competition leads to reduced profits (at least in the short term), making this a "negative-sum" game.
I'm not an economist but I've never heard of competition described as "negative-sum." It's zero-sum because the consumer wins.
"Negative-sum" would be a nuclear weapons manufacturer profiting off blowing up half the planet. The manufacturer might have made money, but overall everyone else loses far more than the manufacturer gained.
I'm not an economist but I've never heard of competition described as "negative-sum." It's zero-sum because the consumer wins.
"Negative-sum" would be a nuclear weapons manufacturer profiting off blowing up half the planet. The manufacturer might have made money, but overall everyone else loses far more than the manufacturer gained.