Know the Facts

Economic Benefits of Competition to Consumers

Consumers benefit in two ways from the existence of competition. First, when there is direct competition between an original equipment manufacturer (OEM) part and a high quality alternative part, the cost of the quality alternative part is considerably less. Secondly, the existence of competition in the marketplace causes the OEM part to be more readily available at a lower cost than parts without competition. Read the economic summary and analysis performed by MiCRA, a leading Washington, D.C.-based economic consulting firm, to learn more.

In addition to direct losses to consumers in paying higher prices, the largest purchaser of aftermarket parts - the insurance industry - estimates that a monopoly on these parts by the large automakers will add approximately $1 billion more each year to their costs. Insurers will likely pass these costs on to their policyholders in the form of higher premiums.

Learn more about the reasons all consumers should support a change to the current U.S. patent law.