Which of the following is a characteristic of pure monopoly ?
Correct answer: A. One seller of the product
- A. One seller of the product
- B. low barriers to entry
- C. close substitute products
- D. perfect information
Explanation
Pure monopoly has a single seller and strong barriers that prevent other firms from entering. Low entry barriers and close substitutes contradict monopoly, while perfect information is not its defining characteristic.
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Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.
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