Monoply

Question 1

Pure monopoly

Answer 1

A market with one seller,firm with 100% market share

Question 2

What is hypothetical ?

Answer 2

Pure monopoly

Question 3

What is the firm in monoply?

Answer 3

The market

Question 4

What does monopoly do to output while raising price?

Answer 4

Restricted output

Question 5

What 2 competitions have varying degrees of monopoly power?

Answer 5

Oligopoly and monopolistic

Question 6

How is the monopoly market allocatively inefficient ?

Answer 6

Price is above/greater than marginal cost

Question 7

How is the monopoly market productively inefficient ?

Answer 7

Not producing where Ac us lowest

Question 8

Consumer surplus

Answer 8

Difference between maximum price consumers would be willing to pay and price they’d actually pay

(Area between demand curve, price curve and vertical axis)

Question 9

Producer surplus

Answer 9

Difference between minimum price sellers would be willing to accept and price they would actually recieve

(Area between supply curve price and vertical axis)

Question 10

What does monoply cause ?

Answer 10

Deadweight loss of welfare