[advocate2]

Perhaps my command of English is not what it once was. When a seller says to its distributors "You must sell at this price and nothing lower" it is fixing the price in an anti competitive manor. It is the antithesis of the free market philosophy.

What am I missing that ebooks can be priced above the price of paperbacks? Can it really be true that the marginal cost of an ebook is higher than the marginal cost to the publisher of a paperback?

When one sees valid speculation that sellers like FW will go out of business because they can not price compete, we have behavior which seeks to reduce competition. This entire stucture now adopted by the publishers can be viewed as a mechanism to reduce competition. What else would you propose to call the new system? Kindly, anyone, explain to me how the new pricing model does anything other than seek to reduce competition.