Which of the following is a result of the monopolization of a perfectly competitive industry,ceteris paribus?
A) lower prices
B) greater efficiency
C) reduced profits
D) deadweight loss

Question

Quizplus · Accepted Answer

Monopolization of a perfectly competitive industry leads to deadweight loss due to the lack of competition and the resulting inefficient allocation of resources. Lower prices and greater efficiency are characteristics of perfectly competitive markets, while reduced profits may or may not be a result depending on the specific conditions of the monopoly.

Which of the Following Is a Result of the Monopolization