Why are monopoly firms generally inefficient? Provide an example of an efficient monopoly firm, and explain under what circumstances such monopolies behave more efficiently. How does monopoly compare with pure competition in terms of price, output, and efficiency?
If monopolies are price makers, why don't they charge an infinite price? Why is marginal cost always below average cost for natural monopolies? Why do monopolies lead to market failure? Why is a firm under a monopoly known as a price maker? Why do monopolies form, and are they an inhere...
Diseconomies of scale are not permanent, but they do usually require a period of additional capital investment or a new approach to process management. Many economists point to the existence of diseconomies of scale to show natural monopolies cannot form, makingantitrustlegislation redundant. Sponsored...
they are living under an oppressive government (capitalists and neoliberals like tyranny – see Chile above) which makes them live in filth and pollution with no chance of a better life for them or their children (most of the children of Chinese workers are denied an education – what would ...
Since MR = MC for both monopolies and perfectly competitive firms, why is the profit-maximizing price basCan the monopolist achieve economies of scale and charge a lower price? Explain.How are the average revenue curve and industry demand curves the same in a monopoly?
Why aren't utility companies run by the government instead of being private monopolies? When goods and services are produced through market allocation, is there a good reason to expect them to be more highly valued than their cost? Why or why not?