Saturday, January 13, 2007

Unit 2 Government intervention: OFT investigation into competition issues

The OFT has announced it is to investigate the puchase of 17.9% of ITV by BSkyB

http://news.bbc.co.uk/1/hi/business/6255727.stm

a) What is the potential worry here?
b) Under which of the 6 market failure headings would you classify this?
c) What action can the OFT take if they think there is a case to answer?

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