Monopoly is a market structure characterized by a:
A) single firm operating as a price taker.
B) few firms operating as price takers.
C) single firm that is not a price taker.
D) none of these.

Question

Quizplus · Accepted Answer

In a monopoly, there is a single firm that has enough market power to control the price and output of the industry, making it a price maker rather than a price taker. This is different from a perfect competition or oligopoly where firms are forced to be price takers due to competition.

Monopoly Is a Market Structure Characterized by A