Monopoly refers to a single seller of a product for which there are no good substitutes. While a monopoly may also be a large firm or be one of a few firms in an industry, those characteristics alone do not define a monopoly. Likewise, a firm that refuses to lower its price may or may not be a monopoly depending on the level of competition in the market.

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Monopoly Refers to

Question 12

Multiple Choice

Monopoly refers to

A) A large firm
B) A firm that is one of a few firms in an industry
C) A single seller of a product for which there are no good substitutes
D) A firm that refuses to lower its price
E) All of the above

Correct Answer: