What Is Price And Output Determination Under Monopoly?


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zahra malik Profile
zahra malik answered


A situation in which a single company owns all or nearly all of the market for a given type of product or service. This would happen in the case that there is a barrier to entry into the industry that allows the single company to operate without competition(for example, vast economies of scale, barriers to entry,  or governmental regulation). In such an industry structure, the producer will often produce a volume that is less than the amount which would maximize social welfare.

Thus the main Characteristics of monopoly are:

Anonymous Profile
Anonymous answered
Monopoly is such a market where there is a single sellers and many buyer.there is restricted to enter to the market for a new industry. In this market the seller themself make the price of the commodity.

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