Why Does Inefficiency Arise from a Monopoly

question 171

Multiple Choice

Why does inefficiency arise from a monopoly

• A)The monopoly firm earns an excessively large profit.
• B)Some buyers will refrain from buying the good, due to the high price.
• C)Some sellers will refrain from buying the good, due to the low price.
• D)Consumers who buy the goods feel exploited.

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Definitions:

Cognitive-behavioral

A therapeutic approach that focuses on identifying and restructuring negative thought patterns and behaviors to treat various mental health issues.

Panic Disorder

An anxiety disorder characterized by sudden periods of intense fear or discomfort accompanied by physical symptoms such as palpitations, sweating, and feelings of doom.

Genetic Predisposition

An increased likelihood of developing a particular disease based on a person's genetic makeup.

Bodily Sensation

Bodily sensation refers to any subjective feeling or experience of the body, including pain, temperature, touch, and internal physiological changes.