Which of the following regarding a monopolist is INCORRECT?
A) The monopolist is a single supplier of a good or service.
B) The monopolist constitutes the entire industry.
C) The monopolist produces only goods of highest quality.
D) There are barriers to entry that allow monopoly.

Question

Quizplus · Accepted Answer

A monopolist does not necessarily produce only goods of the highest quality. The quality of the goods produced by a monopolist can vary, just like any other firm. However, due to the lack of competition, a monopolist may not have an incentive to improve its goods or services.

Which of the Following Regarding a Monopolist Is INCORRECT