Monopoly and its features.Price Discrimination in monopoly market - 71030

Solution Posted by


Rating : No Rating
Solution Detail
Price: $3.99
  • From: , Microeconomics
  • Posted on: Mon 04 Aug, 2014
  • Request id: None
  • Purchased: 0 time(s)
  • Average Rating: No rating
Request Description


Define Monopoly and explain its features.Explain price discrimination followed in monopoly market.

Solution Description



Q. Define Monopoly


Ans: Monopoly is that market from in which a single producer controls the whole supply of a single commodity which has no close substitutes. It is a condition of production in which a single firm has the power to fix the price of the commodity or the output of the commodity. It is a situation there exists a single control over the market producing a commodity having no substitutes with no possibilities for anyone to enter the industry to compete.


Q. Features of Monopoly


Ans: Features of monopoly are:


i)       Absence of competition in the market creates a situation of monopoly; hence the seller faces no threat of competition.