The Primary Reason Why a Monopoly Can Make a Long-Run

question 256

Multiple Choice

The primary reason why a monopoly can make a long-run economic profit is the existence of

• A) barriers to entry.
• B) inelastic demand.
• C) price discrimination.
• D) many buyers.

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Definitions:

Line Department

A department that directly advances the core work or goals of an organization, as opposed to a support or administrative department.

Staff Department

A unit within an organization that provides specialized services or support to other departments, but does not produce direct outputs.

Managerial Accounting

A branch of accounting focused on providing information to managers within the organization to assist in decision-making.

Financial Accounting

The field of accounting that focuses on preparing reports which provide information to external stakeholders about the financial position and performance of a company.