If your farm has the only known source of a rare cocoa bean needed to make chocolate-covered peanuts, your monopoly would result from:
A) sunk costs.
B) location.
C) restricted ownership of inputs.
D) government restrictions.

Question

Quizplus · Accepted Answer

The monopoly in this scenario results from restricted ownership of inputs, as the rare cocoa bean needed to make chocolate-covered peanuts is only available from the farm in question. This limits the ability of other sellers to enter the market and offer a substitute product, giving the farm exclusive control over the supply of the crucial ingredient.

If Your Farm Has the Only Known Source of a Rare