It Has Been Argued That the Uk Banking System Is an Oligopoly
It has been argued that the UK banking system is an oligopoly ( http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8266582/Big-banks-running-an-oligopoly-says-Virgin-Money-chief.html# ) .
a) Using appropriate diagrams and economic research critically discuss the extent to which this is the case
b) What are the likely implications for consumers?
+ http://economicsonline.co.uk/Business_economics/Oligopoly.html The UK banking system is an Oligopoly because there are a small number of companies in the industry to allow barriers to be raised against the entry of new firms. ‘It’s important that we have to make sure there’s no banks too big to fail’ (article). Although in an oligopoly its known …show more content…
Third degree price discrimination is when a business uses market segmentation to identify their different target markets factors such as location, gender, age, income etc will affect how much a business prices their goods for. An example of this is cinemas having different priced tickets depending on age of customers, student discount for public transport Ect.
Elderly people have low income rates so without the senior discount they are less likely to be able to afford going to restaurant especially if the prices are high, so that is why businesses