A monopoly is:
A) a seller of a highly advertised and differentiated product in a market with low barriers to entry in the long run.
B) the only seller of a good for which there are no good substitutes in a market with high barriers to entry.
C) the only buyer of a unique raw material.
D) the producer of a product subsidized by the government.

Question

Quizplus · Accepted Answer

A monopoly is characterized by being the only seller of a good or service for which there are no close substitutes or alternatives in a given market. Typically, there are high barriers to entry that prevent other firms from entering and competing in the market, giving the monopolist significant market power and the ability to set prices higher than under more competitive conditions.

A Monopoly Is