Because a Monopolist Does Not Face Competition from Other Firms

question 59

Multiple Choice

Because a monopolist does not face competition from other firms, the outcome in a market with a monopoly

• A)does not illustrate profit maximization.
• B)is often not in the best interest of society.
• C)is characterized by unlimited profits.
• D)would be improved if the government produced the product rather than a private firm.

---

Definitions:

Benchmarking

The use of external and internal comparisons to plan for future improvements.

Incorporating

The legal process of forming a corporation, which is a type of formal business entity.

Quantitative Forecasting

The use of numerical data and statistical techniques to predict future events or trends.

Statistical Analyses

The process of collecting, examining, interpreting, and presenting data to discover underlying patterns and trends.