Which of the Following Is True of Monopoly

question 208

Multiple Choice

Which of the following is true of monopoly?

• A)There are no barriers to entry.
• B)The firm is a price taker.
• C)There are no close substitutes for the product being produced.
• D)There are many firms in the industry.
• E)The firm faces a horizontal demand curve.

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Definitions:

Unemployment Insurance

A government-provided benefit offering temporary financial assistance to unemployed workers who meet certain eligibility requirements.

Mutual Fund

An investment vehicle that pools money from many investors to purchase a diversified portfolio of stocks, bonds, or other securities.

Brokers

Individuals or firms that act as intermediaries between buyers and sellers in financial transactions, earning a commission for their services.

Index Funds

Mutual funds or exchange-traded funds that aim to replicate the performance of a specific market index by holding the same stocks in the same proportions.