Pure monopoly is a market structure:
A)that consists of a single supplier.
B)that involves many close substitutes.
C)that involves many competing firms.
D)that consists of a single buyer.
E)that has no barriers to the entry and exit of suppliers.

Question

Quizplus · Accepted Answer

Pure monopoly is a market structure where a single supplier dominates the market and has complete control over the price and supply of goods and services. There are no close substitutes to the monopolized product, and entry by potential competitors is prohibited or discouraged by barriers to entry. Therefore, choices B, C, D, and E are incorrect.

Pure Monopoly Is a Market Structure