A monopoly is a
A)price taker
B)single buyer of an input into production
C)firm facing a perfectly elastic demand curve
D)group of firms controlling the price and output for an industry
E)price setter

Question

Quizplus · Accepted Answer

A monopoly is a single seller in the market with no close substitutes, and therefore has the ability to set the price for the product or service it offers. Hence, a monopoly is a price setter.

A Monopoly Is a