What stops oligopolists from acting together as a monopolist and earning the highest possible level of profits?

Q: Why don’t monopolists try to establish the highest price possible, as many people allege? What would…

A: For the existence of monopoly the three conditions are necessary: 1. There is a single producer  2.…

Q: If only one airline serves a town, does a monopoly exist? What about competition from other…

A: Monopoly is a term that refers to a single seller (mono = single and poly = seller). In economics, a…

Q: What economic criteria does a profit maximizing monopolist use to decide how much to produce?

A: Monopoly is a type of market structure in which there is only a single seller. The monopolist is a…

Q: Why does monopoly need to be regulated?

A: A monopoly is the marketplace with only a single seller of a specfiic good as there is no close…

Q: A monopolist is producing at a point where marginal cost exceeds marginal revenue. How should output…

A: Marginal revenue(MR) is the change in the Total Revenue(TR) on account of the sale of and additional…

Q: All imperfect competitors; pure monopoly, oligopoly, and monopolistic competition face downward…

A: The two broad categories of market forms namely perfect and imperfect competition differ largely on…

Q: A monopolist's demand curve: Multiple Choice

A: A monopolist demand curve “lies above its marginal revenue curve” The monopolist as a single…

Q: An oligopolist faces a kinked demand curve.  In your own words, describe why firms face this…

A: When a requirement curve isn't a line however has variable physical property at higher and lower…

Q: Why is monopolist's marginal revenue less than the price of its good? Can marginal revenue be…

A: Marginal revenue will always be less than the price of its commodity for a monopolist. We know that…

Q: What is meant by the term “market power”?   Can a monopolist charge any price it wants because it is…

A: Monopoly market is defined as a market structure in which there is only a single seller in the…

Q: A nondiscriminating pure monopolist's demand curve:

A: The monopolist would be the market structure which would have a single seller and many buyers in the…

Q: How does a monopolist decide its production amount and pricing strategy? Explain

A: The markets in an economy are of different structures, ranging from being highly competitive to no…

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

A:

Q: An oligopolist faces a kinked demand curve.  In your own words, describe why firms face this…

A: Oligopoly: - it is a market condition where there are few firms or sellers in the market selling…

Q: Which two kinds of monopolies exist? Which is more economically efficient? Why?

A: Monopoly is a market structure in which there is a single firm and large number of buyers. The…

Q: Why are monopolies for the most part illegal?

A: Monopoly Market: Monopoly market refers to the market situation where a single firm enjoys the…

Q: How will a monopolist respond to a rise in fixed costs?

A: A monopoly is when a market is experiencing a situation where a single seller offers a specific…

Q: With the aid of a diagram explain how a monopolist determines how much output to produce and what…

A: A monopolist is the single seller in the market who decides the price of the good he is selling or…

Q: Is a monopolist a price taker? Why or why not?

A: Perfect competition is the market structure with a large number of buyers and sellers who sell a…

Q: What price will the monopolist charge in order to maximize profit?

A: A monopolist is a sole seller, who sells unique and exclusive products. There are high barriers to…

Q: how monopolists in the Philippines are being regulated by the government.

A: When a single company dominates the entire market, it is called a monopoly. The terms "company" and…

Q: Refer to the scenario above. The monopolist profit is maximized when the quantity sold is____ packs.…

A: Marginal revenue refers to the additional revenue that a seller receives from selling an extra unit…

Q: Explain the concept of the Deadweight Loss? Why is a monopoly firm more likely to be able to earn a…

A: There are different types of market structures based on barriers to entry and exit of firms, the…

Q: How does the demand curve perceived by a monopolist compare with the market demand curve? Explain

A: Monopoly refers to the market structure where there is only one firm in the industry. There is a…

Q: What can a monopolist or a firm with market power do, in order to increase the profits?

A: Monopoly firm is characterized by the presence of single firm in the market. The single firm is…

Q: Imagine that you are managing a small firm and thinking about entering the market of a monopolist.…

A: A monopoly is a market structure that is characterized by a single seller who produces unique…

Q: explain the point at which a monopolist would maximise profits, assuming that the firm faces first…

A: The monopoly is a type of market structure where there is a single firm and a large number of buyers…

Q: List several reasons that monopolies exist,and explain how each causes barriers to entry

A: A monopoly is a form of market – there exists only a single producer. They earn supernormal profits…

Q: How is a movie superstar like a monopolist?

A: Monopoly describes a market situation when there is only one seller and no other substitutes. For…

Q: Why are monopolies considered an abuse of power?

A: Pricing power is frequently restricted by rivals and the prospect of customers switching to…

Q: How does a monopolist decide its production and pricing strategy? Explain.

A: Monopoly market: It is a kind of market where a single seller is selling goods and services which…

Q: What are ways in which a monopolist can engage in price discrimination?

A: Price discrimination is a pricing strategy in which a firm charges different prices for the same…

Q: Do all monopolists earn profits? Why or why not?

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

Q: Imagine a monopolist could charge a different price to every customer based on how much he or she…

A: Monopoly is a market structure where there are many buyers and single selling, who deals in the…

Q: why a monopolist is constrained by demand?

A: Monopoly is the sole supplier of exclusive or patented good which has no close substitute in the…

Q: Referring to the diagram, the monopolist will charge a price of ______ and sell quantity of _______

A: A monopoly is a market form in which a single seller sells unique products, and the firms’ products…

Q: An oligopolist faces a kinked demand curve.   Why do firms face this situation?

A: Oligopoly:An oligopoly market refers to the market situation where few sellers exist. However, a…

Q: Refer to the figure below. How much would the monopolist be willing to pay to avoid regulation?…

A: The market structure would result in the various market structures that would consist of the single…

Q: How can a monopolist identify the profitmaximizing level of output if it knows its marginal revenue…

A: A monopoly refers to a single seller in the market. Thus, a monopolist faces no competition and has…

Q: What is the usual shape of a marginal revenue curve for a monopolist? Why? How can a monopolist…

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