Question

What is the definition of​ monopoly?
a. a monopoly is a firm that earns large economic profits.
b. a monopoly is a firm that is the only seller of a product that can ignore the fixed cost of production.
c. a monopoly is a firm that is created and regulated by the government.
d. a monopoly is a firm that is the only seller of a product in a given industry.
e. all of the above?

Answer 1

Hey there!

The answer is D.

A monopoly is a firm that is the only seller of a product in a given industry. We can roughly distinguish two types of monopolies: natural monopolies occur based on natural circumstances like strategic positioning or abundant mineral resources. Besides the natural monopoly, we can also distinguish a legal monopoly. This type of monopolist is operating under the mandate of a government.

~Hope this helps you!

Answer 2

What is the definition of​ monopoly?

d. a monopoly is a firm that is the only seller of a product in a given industry.