Most People Believe That Monopolies Always Have Excessive Profits, Yet

question 18

Essay

Most people believe that monopolies always have excessive profits, yet some unregulated monopolies might have very low earnings.
(a) Why might a monopoly have little or no economic value? Explain.
(b) If you were given a chance to enter a perfectly competitive industry, or a monopolistic industry, which would you choose? Explain

Identify and avoid the use of negative words or expressions in professional writing.

Recognize the ethical considerations in using positive emphasis and de-emphasization techniques.

Understand the impact of tone and word choice on reader perception and communication effectiveness.

Apply strategies for crafting messages with positive emphasis to enhance reader engagement and response.

---

Definitions:

Equitable

Characterized by fairness and impartiality; the fair distribution of resources and opportunities.

Efficient

Describes a process that achieves its goals with the least waste of time and effort.

Lump-Sum Tax

A tax that is the same amount for every person.

Deadweight Loss

A cost to society created by market inefficiency, which occurs when supply and demand are out of equilibrium.