If you had an official license for the exclusive right to sell breakfast bagels in your community,your monopoly would result from:
A)control of a scarce resource or input.
B)technological superiority.
C)increasing returns to scale.
D)government-set barriers.

Question

Quizplus · Accepted Answer

Monopoly resulting from government-set barriers is known as a legal monopoly. In this case, the license granted by the government gives the exclusive right to sell breakfast bagels. This creates a barrier for other potential competitors, resulting in a monopoly in the community.

If You Had an Official License for the Exclusive Right