Define the term monopoly and outline its characteristics.

Monopoly is a market structure where a single firm controls market's output and market share.
Monopoly's characteristics are the following:There is only one firm in the industry Changes in the firm's output cause changes in the priceFirm produces unique goods and servicesThere are significant barriers to entry the industryNeither allocative nor productive efficiency will be achievedExamples:Microsoft Local Utilities

Answered by Iosif D. Economics tutor

1604 Views

See similar Economics IB tutors

Related Economics IB answers

All answers ▸

How does GDP perform as an indicator of economic welfare?


Why is it ineffective to tax inelastic products as a means to deter their consumption?


What is a monopoly?


What are economic stabliziers?


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2024

Terms & Conditions|Privacy Policy
Cookie Preferences