Monopolies of knowledge in the context of "Hearst Corporation"

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⭐ Core Definition: Monopolies of knowledge

Monopolies of knowledge arise when the ruling class maintains political power through control of key communications technologies. The Canadian economic historian Harold Innis developed the concept of monopolies of knowledge in his later writings on communications theories.

An example is given of ancient Egypt, where a complex writing system conferred a monopoly of knowledge on literate priests and scribes. Mastering the art of writing and reading required long periods of apprenticeship and instruction, confining knowledge to this powerful class. It is suggested that monopolies of knowledge gradually suppress new ways of thinking. Entrenched hierarchies become increasingly rigid and out of touch with social realities. Challenges to elite power are often likely to arise on the margins of society. The arts, for example, are often seen as a means of escape from the sterility of conformist thought.

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Monopolies of knowledge in the context of Information asymmetry

In contract theory, mechanism design, and economics, an information asymmetry is a situation where one party has more or better information than the other.

Information asymmetry creates an imbalance of power in transactions, which can sometimes cause the transactions to be inefficient, causing market failure in the worst case. Examples of this problem are adverse selection, moral hazard, and monopolies of knowledge.

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