--%>
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 : Least likely monopsony power Which of

    Which of the given below employers is LEAST likely to encompass monopsony power? (1) The secretarial service firm in the Los Angeles. (2) The police force in Eau Claire, Wisconsin. (3) U.S. Department of Defense. (4) Wal-Mart in the Snowflake, Arizona. (5) Community h

    		•
  • Q : Problem on volatility of prices Can

    Can someone help me in finding out the right answer from the given options. In long run, the activities of successful speculators tend to: (i) Decrease the volatility of prices. (ii) Attract legal attention resultant in imprisonment. (iii) Raise the level and volatili

    		•
  • Q : Intending negative income tax The

    The negative income tax suggestions: (w) are intended to simplify federal income taxes. (x) require the poor to pay taxes regardless of their incomes. (y) call for higher income taxes on transfer payments. (z) are attempts to balance the goals of equi

    		•
  • Q : Accumulation of Capital in Market

    The individuals who eventually enable accumulation of capital into a market economy are: (1) consumers. (2) firms. (3) government. (4) savers. (5) capitalists. How can I solve my Economics problem?

    		•
  • Q : Buying on margin What does “ buying on

    What does “buying on margin” means?

    		•
  • Q : Emerge natural monopoly by economics of

    A monopoly might emerge naturally while economies of scale: (w) are small relative to market demand. (x) do not exist. (y) are large relative to market demand for output. (z) and average costs are rising over the market output range.

    Q : Proportion of total costs I have a

    I have a problem in economics on Proportion of total costs. Please help me in the following question. Demand for the labor is more elastic as the: (1) Bigger labor costs is as proportion of net costs. (2) Shorter the time-interval considered. (3) Bigg

    		•
  • Q : Positively slope of short-run market

    Within purely competitive industries: (w) short-run market supply curves are positively sloped. (x) long-run market supply curves are positively sloped. (y) short-run supply is more elastic than long-run supply. (z) economic profit exceeds accounting

    		•
  • Q : Domestic production possibilities curve

    Refer to the following domestic production possibilities curve for Karalex. The gain to Karalex from specialization and international trade is represented by a move from: 1) A to B. 2) C to A. 3) C to D. 4) B to E.

    Q : Predation by charging a low price

    Predation by charging a low price is often a successful entry deterrent for all of the given reasons except the concept that low prices: (w) signal low profit. (x) make entry complicated while entry is costly. (y) may signal to a pote

    		•