A monopoly whose monopoly power is based on its exclusive access to a resource is always threatened by the possibility of
A) technological change
B) patents
C) economies of scale in production
D) new firms entering the industry
E) its position as a natural monopoly

Question

Quizplus · Accepted Answer

Technological change can lead to the development of alternatives or substitutes for the resource, reducing the monopoly's power.

A Monopoly Whose Monopoly Power Is Based on Its Exclusive