Which of following is the best example of a monopoly if we use a broader definition of monopoly?
A)Spuds McKenzie, a wealthy potato farmer in Idaho
B)Cheap Gas, one of two gasoline stations in a large rural community
C)Santos Tacos, the only taqueria in the small town of Santosville
D)Zippie Rentals, a sports car rental service in the downtown Boston area

Question

Quizplus · Accepted Answer

A broader definition of monopoly includes any situation where a single firm or entity dominates a particular market without competition. Santos Tacos is the only taqueria in the small town of Santosville, giving them a monopoly on Mexican food options in the area. While the other options may have market power, they do not have exclusive control over a particular market.

Which of Following Is the Best Example of a Monopoly