Economics Questions

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1. The companies do not prefer legislation that curtails their actions. Limiting the amount to $10 million for advertising costs would make it harder for all three of beer producers to gain advantage through marketing. Budweiser, Miller and Coors all want to keep and increase their market share, not loose. If this legislation was to come through, it is likely that the barriers for entering this oligopolistic market would lower and other firm could take some of the business away from them.
This legislation would be preferable by the smaller companies on the market, because it restricts the larger ones. The firms that constitute the other 20% of market share will be...

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