Size alone determines whether a firm is a monopoly.

Question

Size alone determines whether a firm is a monopoly.​

Quizplus · Accepted Answer

Size alone does not determine whether a firm is a monopoly. A monopoly exists when a firm has exclusive control over the supply of a particular product or service. This means that the firm is the only one in the market and is not subject to competition. Monopolies can be caused by various factors including barriers to entry, control over critical resources, patents or intellectual property rights, and network effects. Therefore, it is possible for a small firm to have a monopoly if it meets these criteria, while a large firm may not be a monopoly if it faces competition from other players in the market.

Size Alone Determines Whether a Firm Is a Monopoly.​

Size Alone Determines Whether a Firm Is a Monopoly.