Alpen Inc.is a manufacturing firm that holds a patent for a new food processing machine,which is considerably more efficient and safe.Being the only firm that manufactures that product,Alpen Inc.charges a very high price for its products.This is referred to as _____.

Question

Quizplus · Accepted Answer

The situation described is an example of a monopoly, where Alpen Inc. is the only firm that manufactures the product and charges a high price due to lack of competition. The term for the high price charged by a monopoly is called "monopoly rent." The other answer choices do not accurately describe the situation.

Alpen Incis a Manufacturing Firm That Holds a Patent for a a New