Identify a feature of a monopoly.
A)It is a market of one highly dominant firm.
B)It is typically a market of 2 to 5 firms.
C)It is a market of up to 8 or 10 firms.
D)It is a market with hundreds of firms.

Question

Quizplus · Accepted Answer

A monopoly is characterized by the presence of only one dominant firm in a market that has no other close substitutes. This gives the monopolist considerable market power to set prices and control output levels.

Identify a Feature of a Monopoly