The New World Order/Running Shoes of Capitalism

[Tom . Weisskopf]

 Michael Perelman's recent postings on Nike in the world economy have
 been as fascinating as they are revolting.  One question that is bound
 to pop into the mind of anyone trained in economics in this country is
 how sales prices are holding up in what seems to be a rather competitive
 industry.  In other words, what prevents one of these firms from gaining
 huge market share by cutting prices in half (at a higher volume they
 could still afford to pay Michael Jordan!).   It seems to me that the
 answer to this question is a very important part of the story.  <Tom W>