Advertisements
Advertisements
Questions
Explain the main characteristics of a monopoly.
Explain three main features of monopoly.
Answer in Brief
Solution
Following are the main features of monopoly:
- A single seller: There is only one seller (of a commodity) in the market. He has full control over the supply of the commodity.
- No close substitutes of the product: The product sold by the monopolist has no close substitutes. The buyers will have to buy the commodity from the monopolist or go without it.
- Entry of new firms is restricted: There is no freedom for the new firms to enter the industry. It may be due to legal restrictions in the form of licensing or patent laws.
shaalaa.com
Forms of Market Structure
Is there an error in this question or solution?
RELATED QUESTIONS
When products are differentiated on the basis of advertisements, brand names etc., it is called as ______.
'A few big sellers' is a characteristic of ______.
The market structure which is characterised by a single producer of a commodity and when there are not close substitutes for that commodity:
What is meant by oligopoly?
What is monopsony?
What is meant by product differentiation?
State the advantage of monopolistic competition over monopoly.
Which type of market structure is the following? Give reason.
Scooters
To which market is price discrimination relevant?
What do you mean by homogeneous products?
