Exercise 1: Feasibility Many experts claim that, although VHS came to dominate the video recorder market,...

Exercise 1: Feasibility

Many experts claim that, although VHS came to dominate the video recorder market, Betamax was a superior technology. Assume that these experts are correct, so that, all other things equal, a world in which all video recorders were Betamax technology would be Pareto superior to a world in which all video recorders were VHS technology. Yet it seems implausible that a policy that forced a switch in technologies would be even potentially Pareto improving. Explain.

Expert Solution

Rahul Sunny answered 1 year ago

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