Monopoly is a market structure characterized by
A) one producer with ease of entry.
B) few producers vying to become the sole supplier to the market.
C) many producers but one dominant firm.
D) one producer and entry by other firms is not possible.
E) one producer of something that the government requires everyone to purchase.

Question

Quizplus · Accepted Answer

Monopoly is a market structure characterized by one producer and entry by other firms is not possible. A monopoly has dominance over a particular product or service, and there is no close substitute for it in the market. Thus, it faces no competition, and it can set prices very high, making it very difficult for consumers to find alternatives.

Monopoly Is a Market Structure Characterized by