there are many highways between melbourne and sydney This has nothing to do with competition.
correct it's doesn't, but remember when the optus workers cut the big cable between melbourne and sydney, or like in tassie when the idiots broken in to an exchange building on the easten shore and put an axe into the cables, the point is if you have 2, you have an alternitive and you can remain functional, not be dead in the water untill it's fixed anyway the point is, the reason for the NBN has changed on the fly to suit the situation of the governments position, thats the point NBN is there to provide a common set of infrastructure in a market which is now only going to be the "governments" option, the reason for building it was to have two, so smaller players in the game could have an alternitive option, this is the point On Tue, Jul 13, 2010 at 2:52 PM, Ken Schaefer <k...@adopenstatic.com> wrote: > > > > > *From:* ozdotnet-boun...@ozdotnet.com [mailto: > ozdotnet-boun...@ozdotnet.com] *On Behalf Of *.net noobie > *Sent:* Tuesday, 13 July 2010 12:31 PM > > *To:* ozDotNet > *Subject:* Re: [OT] Friday - Conway (or.. Labor govt) once > againdelaysInternet Filter > > > > *Er, since when would that increase competition? Do we have two sets* > * > of roads, two sets of electricity *distribution* systems?* > > becuase you have to places to buy from, it's call competition, > > > > Some things are “natural monopolies”: > http://en.wikipedia.org/wiki/Natural_monopoly > > > > Multiple companies investing capital intensive systems, rather than sharing > a common infrastructure, just results in increased costs for everyone. > > > > If roads were private, do you think it would be cheaper for motorists if > there were 2 highways between Sydney and Melbourne? By your argument, if > there were 10 highways built, it would be even better, because there would > be more competition! > > > > plus if you ever work in a place like a mine for example, > you notice they have 2 of everything, so when one fails the other takes > over, it's called redundancy > > > > This has nothing to do with competition. > > > > In any case, the NBN is there to provide a common set of infrastructure in > a market which is a natural monopoly. Instead of a private operator > collecting monopoly rent (http://en.wikipedia.org/wiki/Monopoly_profit) to > the detriment of consumers, a government sanctioned provider can provide the > base infrastructure at a cost that doesn’t maximise profits to the holder of > the monopoly. > > > > Cheers > > Ken >
