If an unregulated monopolist operates in a market, what can we conclude?
A) Society will be allocating its resources efficiently.
B) Customers will pay higher prices than if the market were competitive.
C) Price will be equal to average cost.
D) Customers will purchase more units of output than if the market were competitive.

Question

Quizplus · Accepted Answer

An unregulated monopolist in a market means that there is no competition for that firm, allowing them to charge higher prices and earn higher profits. This is because customers have no other choice but to purchase from the monopolist. As a result, customers will pay higher prices than they would in a competitive market.

If an Unregulated Monopolist Operates in a Market, What Can