Monopolies are sometimes more technologically efficient than perfectly competitive markets.

Question

Quizplus · Accepted Answer

Monopolies often have access to greater resources and economies of scale, allowing for more efficient production processes and innovation. In contrast, perfectly competitive markets may lead to excessive duplication of effort and resources, resulting in lower overall efficiency. However, this does not necessarily mean that monopolies are always superior to competitive markets, as they may also have negative impacts on consumers and overall market welfare.

Monopolies Are Sometimes More Technologically Efficient Than Perfectly Competitive Markets