Final EC 111 Flashcards
1
Q
Monopoly
A
Not legal form of market structure
2
Q
Characteristics of Monopoly
A
- a single firm producing a good or providing a price for which there are no close substitutes
- strong barries to entry
3
Q
Patent Monopoly
A
A patent gives an individual to executive right to provide a good or to employ a unique production process for a period of time
4
Q
The purpose of a patent is to ____
A
promote invention and innovation
5
Q
Strategic-Resource Monopoly
A
A single firm gains control of a control of inputs a necessary input in the production process
6
Q
License Monopoly
A
The government requires that an individual holds a license to produce a good or provide a service
7
Q
The purpose of a license is to _____
A
maintain standards of health and safety.
License acts as a barrier
