--%>
Assignment Help - homework help

Describing monopoly

Illustrate the term monopoly?

E

Expert

Verified

When one business or company dominates its area and squeezes out all its competition this is resulting in consumer does not have a free choice, and inevitably, the price of its products or services will increase, and the 'Monopoly' increases its profit. Although, sometimes prices stay low to discourage anyone from entering the market profit still occur. Not to be confused with a term of monopoly, a company has control over the entire market for a product because of barriers.

Although a monopoly is a philosophical procedure of direct competition leading to a pure monopoly it is not in itself a purely dominating force. It is somewhat the process of obtaining competitive grounds for strive toward total control.

   Related Questions in Microeconomics

  • Q : Problem on free market economy A) Using

    A) Using appropriate tables and diagrams explain how price and quantity is determined in a free market economy. B) Briefly explain using the diagrams in 4.1 the followings two scenarios C) When

    		•
  • Q : Graphical shift of supply curve When

    When market supply and demand curves for Velcro shoelaces were projected into a screen at the front of this room, a raise in the supply of Velcro shoelaces would be illustrated graphically by a shift of supply curve: (1) Towards the center of Earth. (2) To the left. (

    		•
  • Q : Problem regarding monopsonistic

    I have a problem in economics on monopsonistic exploitation. Please help me in the following question. The Labor union contracts, an analogous worth rule or the minimum wage laws might boost equilibrium employment when a firm has been practicing: (1)

    		•
  • Q : Reduce average total costs by

    Individual pure competitive firms as well as firms along with market power may each be capable to: (i) reduce average total costs by increasing the size of its operations or economies of scale else decreasing the size of its operations [as diseconomie

    		•
  • Q : Perfect Equality of Income Distribution

    A Lorenz curve which is identical to a 45 degree line by the origin indicates as: (w) perfect equality of income distribution. (x) complete inequality of income distribution. (y) unitarily elastic supplies of labor. (z) which poverty is prevalent.

    		•
  • Q : Illustrates the Loren curve by total

    When 40 percent of total personal income was received by 20 % of the highest income families, in that case the: (w) income distribution would be perfectly equal. (x) income pattern would be foreign to the U.S. (y) Lorenz curve would be the 45 degree r

    		•
  • Q : Problem on annual implicit cost To

    To begin up his own business, Mitch quit his salaried job and invested $10,000 in savings which had earned him $1,000 per year in interest. He as well employs an apartment as his office that he previously had rented out for $6,500 per year. Which of the following is n

    		•
  • Q : Negative marginal utility The economic

    The economic good becomes an economic bad whenever consumption is expanded into an area where: (1) Sellers experience the moral hazard.  (2) Marginal returns are diminishing. (3) Marginal utility is negative. (4) Buyers suffer from adverse choice. (5) Extreme cho

    		•
  • Q : Find absolute value of the price

    Two thousand four hundred students subscribed to cable TV services while they enrolled like freshmen. 800 of them students dropped the service while the price of cable rose by $25 to $35 per month. The absolute value of the price elasticity of demand

    		•
  • Q : Problem onto Saving and Spending Money

    The owners of a construction company would not be saving when they collected a big check after finishing a project and after that bought: (w) a long term certificate of deposit at their local bank. (x) stock in a newly-formed corporation. (y) a corporate jet for use o

    		•