An example of a firm with market power is a
A)delicatessen in New York.
B)cable TV provider in Tulsa.
C)clothing store in Chicago.
D)family farm in Kansas.

Question

Quizplus · Accepted Answer

A cable TV provider in Tulsa likely has market power due to the lack of competition in the market. This would allow the provider to raise prices without losing significant numbers of customers. The other choices do not necessarily have market power as there may be many other similar businesses in their respective markets.

An Example of a Firm with Market Power Is a