A Monopoly

question 528

Multiple Choice

A monopoly

• A)can set the price it charges for its output and earn unlimited profits.
• B)takes the market price as given and earns small but positive profits.
• C)can set the price it charges for its output but faces a downward-sloping demand curve so it cannot earn unlimited profits.
• D)can set the price it charges for its output but faces a horizontal demand curve so it can earn unlimited profits.

---

Definitions:

Committee System

The organizational method used by legislatures, such as the United States Congress, to manage and process legislation through specialized groups or committees.

Executive Branch

The branch of government responsible for implementing and enforcing laws, typically led by the president or prime minister and comprising departments and agencies.

Issue Networks

Loose, informal, and highly variable coalitions of public and private sector actors who share a common interest in specific policy issues and work together to influence policy outcomes.

Oversight

The process of monitoring and reviewing the operations and activities of a government or organization to ensure accountability and efficiency.