Firms can have a high degree of monopoly power and not be a perfect monopoly if they:
A) are the single producer of a product.
B) control 80 to 90 percent of the market.
C) have only a small number of competitors.
D) intimidate the other businesses in the market.

Question

Quizplus · Accepted Answer

A firm that controls 80 to 90 percent of a market can have a high degree of market power, even if there are other competitors in the market. Therefore, they may have significant monopoly power but are not a perfect monopoly since there are still other players in the market.

Firms Can Have a High Degree of Monopoly Power and Not