When a Competitive Market Becomes Controlled by a Monopoly,the Price

question 49

Multiple Choice

When a competitive market becomes controlled by a monopoly,the price ________ and the output ________.

• A) increases; stays the same
• B) increases; increases
• C) decreases; stays the same
• D) increases; decreases
• E) decreases; decreases

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Definitions:

Current Income

Refers to the total amount of money received by an individual or household during a certain period, typically within a year.

Taxes

Compulsory financial charges or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Public Officials

Individuals elected or appointed to manage affairs of the government at various levels, responsible for implementing laws and overseeing public services.

Market Interest Rate

The prevailing rate of interest on loans and deposits in the wider financial market, influenced by supply and demand, central bank policy, and other factors.