Network effects and simultaneous consumption tend to foster the development of
A)pure competition.
B)monopoly power.
C)net social benefits.
D)allocative efficiency.

Question

Quizplus · Accepted Answer

Network effects and simultaneous consumption can lead to monopoly power because as more users join a network or platform, the value of the service or product increases for all users, potentially leading to a dominant market position for the provider.

Network Effects and Simultaneous Consumption Tend to Foster the Development