In the small town of Wellsville, there is only one grocery store.Given that everyone needs food, we would expect that:

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Since everyone in the town needs food, the grocery store has a large customer base. However, if they charged exorbitant prices, customers would either go without or shop elsewhere, if possible. Therefore, the grocery store would have to price competitively to attract and retain customers. This does not necessarily make them a monopoly or guarantee highly profitable returns. It also does not necessarily mean that their demand is perfectly inelastic.

In the Small Town of Wellsville, There Is Only One