Explain fully why perfectly competitive firms and monopolies maximize profits by choosing the quantity where MR = MC. Explain why the profit maximizing price of the monopoly can be higher or lower than the profit maximizing price for perfect competition.

Q: monopolist, as opposed to a company in a perfectly competitive market:

A: Perfect competition market ;- where large numbers of sellers and buyers exist and exchange…

Q: Why do barriers to entry matter in monopoly? There are never barriers in monopoly markets. Barriers…

A: Monopoly is a single firm in the market producing a unique good.

Q: Using the three characteristics of monopoly, explain why each of the following is a monopolist: A.)…

A: Monopoly is a market condition where there is a single seller. It sells a unique commodity in the…

Q: BUS Ch9 v2 07 new. Natural Monopolies 19. Natural monopolies occur as the result of the type of good…

A: A monopoly is a sole producer in the market thus having maximum market power and acting as a price…

Q: What quantity would be produced if the monopoly becomes a perfectly competitive industry according…

A: In perfect competition, any profit-maximizing producer faces a market price equal to its marginal…

Q: Gaynor is the only manufacturer of gas pumps that automatically refill. Gaynor can earn a profit on…

A: In a competitive market firms can earn positive profit in short run but will earn zero economic…

Q: Monopolies are generally economically inefficient if ________ exist(s). *   A) a natural monopoly…

A: Monopoly A market structure characterized by a single seller selling an economic product. The seller…

Q: Compare the equilibrium of a firm under perfect competition with that of a monopolist in the…

A: Perfect Competition is a market structure where there is a large number of firms. Entry and exit…

Q: Give possible reasons for the poor performance of the monopolies

A: Monopoly: - monopoly market structure is the structure in which there is only one seller of any good…

Q: The reason monopolies are inefficient for society is because monopolies: options: 1.Create no…

A: Monopoly is a single firm in the market producing unique good.

Q: Compare and contrast monopoly and perfect competition market structures in the Long-run

A: Monopoly is a market structure with single seller and many buyers. Perfect competition is a market…

Q: Economics Describe two of the factors that make up monopolies.

A:

Q: The graph on the right represents the demand, marginal revenue, and marginal cost curves for a…

A: Meaning of Market: The term market refers to the situation under which the producers or the…

Q: Which of the following industries are pure monopolies? A. The only supplier of heating fuel in an…

A: Pure monopoly is the form of market organization in which a single firm sells a commodity for which…

Q: What are the three reasons that a market might have a monopoly? Give two examples of monopolies and…

A: A monopoly is a sole producer of a good in the market thus acting as a price maker.

Q: What are the necessary conditions for a monopoly position in the market to be established?

A: ANS The necessary conditions for a monopoly position in the market are as follows: Only one firm…

Q: Select one or two examples of an industry characterized by monopoly and discuss how each example…

A: A monopoly is a market structure characterized by the existence of a single firm as the producing…

Q: why do perfectly competitive firms maximize their profits by producing so that the price is equal to…

A: In the field of microeconomics, there exist four kinds of market structure and these market…

Q: Using a simple diagram, illustrate how the monopolist can produce output of a competitive firm but…

A: Monopolist refers to the type of economy or market where it is characterized by a single seller or…

Q: Monopoly firm

A: A market where there are one firm, and many buyers are called a monopoly. A monopoly is a market…

Q: The government regulates monopolies for various reasons, to apply effective price control to reduce…

A: Monopoly is a market condition where there is a single seller. It sells a unique commodity in the…

Q: Many firms that sell in small markets are effectively monopolies; they are the sole provider of a…

A: A market is a place where the buyers and the sellers interacts with each other and the exchange of…

Q: Like monopolies, oligopolies may continue to earn economic profit in the long run.   is this true or…

A: An oligopoly market structure is where the market is regulated by a few producers. In such a market…

Q: In many countries, the government chooses to "internalize" the monopoly by owning monopoly providers…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: A monopoly, unlike a perfectly competitive firm, has some market power. Thus, it can raise its…

A: There are certain factors that helps a firm to maintain its market power. It may include economies…

Q: Demand Demand QUANTITY (Bikes) Which of the following statements are true about both monopolistic…

A: Answer-

Q: Economics what are the benefits and drawbacks to monopolies. Is Google Facebook Amazon considered a…

A: Monopoly is a single market. Where seller charge price of his/her choice. There are several benefits…

Q: How does monopoly compare with pure competition in terms of price, output, and efficiency? Explain.

A: (Q) How does monopoly compare with the pure competition in terms of price, output, and efficiency?…

Q: Identify and discuss three ways in which a perfectly competitive market structure differs from a…

A: Perfect competition is a market structure in which there are many buyers and sellers and the firms…

Q: The concept of Economies of Scale shows that larger companies can produce products at lower costs…

A: A monopoly occurs when a single corporation controls the whole market. "Firm" and "industry" are…

Q: Barriers to entry often allow monopolies to earn economic profit in the long run   is this true or…

A: Monopoly: - monopoly market structure is the structure in which there is only one seller of any good…

Q: Compare and contrast the similarities and differences between perfect competition and monopoly.

A:

Q: Identify a monopoly that you have recently consumed. Explain why you selected it as a monopoly and…

A: Answer: We are granted a computer project recently and that the few stationary including gums are…

Q: Natural monopolies often occur because of huge economies of scale.   is this true or false

A: Natural monopolies are a result of economies of scale that occurs due to the higher level of…

Q: true or false Natural monopolies are regulated by government agencies.

A: The monopoly is the type of market structure where there are large number of buyers but there is…

Q: Explain how monopolies employ average cost pricing

A: Monopolies have one seller and a large number of buyers. There are no close substitutes. Under…

Q: Discuss monopoly markets and the ethical weaknesses of monopolies.

A: Market refers to the process through which buyers and sellers come to an agreement on the price and…

Q: Why is marginal revenue less than the price for monopolies? Can marginal revenue ever be negative?…

A: Monopoly: It refers to that market structure where there exists only one firm who produces the good.…

Q: Explain three reasons why monopolies arise.

A: In an economy, a monopoly is a firm that has market power. That means, unlike other firms in a…

Q: Which of the following, in your view, is the BEST example of a NATURAL monopoly. Note some of these…

A: Monopoly Market: The situation of the market where only single sellers exist in the market and there…

Q: Monopolies always produce less and charge higher prices for goods which are often of dubious…

A: What exactly is a Monopoly game?A monopoly is a market in which there is only one supplier but…

Q: Economies of scale tend to create natural monopolies. true or false

A: Economies of scale tend to create natural monopolies. true or false Definition of natural monopoly-…