How will the price and output of an unregulated monopolist compare with the ideal levels that might be reached if the market was competitive?

Question

Quizplus · Accepted Answer

An unregulated monopolist will produce less output at a higher price compared to the ideal levels that would be reached in a competitive market. This is because a monopolist can restrict output to increase prices and therefore profits. In a competitive market, firms are forced to lower their prices and increase output to remain competitive, resulting in a more efficient allocation of resources.

How Will the Price and Output of an Unregulated Monopolist