Economists are critical of monopoly because
A) monopolists can create a deadweight loss.
B) economies of scope result in lower average costs.
C) the demand for the monopolist's product is the market demand curve.
D) monopolists can earn long- run economic profit.

Question

Quizplus · Accepted Answer

Monopolists can create a deadweight loss because they produce less and charge higher prices than in a competitive market, leading to an inefficient allocation of resources.

Economists Are Critical of Monopoly Because