asked 144k views
1 vote
A monopoly is most likely to emerge in a market when

asked
User SonalPM
by
7.9k points

1 Answer

7 votes

Answer: there is only one producer of a commodity

Step-by-step explanation: In simple words, monopoly refers to a market structure in which there is only one participant in the market who is making available the commodity to the customers.

Monopoly can arise from a number of factors such as patents rights, new invention etc. Sometimes the govt. of a country finds it suitable to handle a particular industry for the national benefit such as defense.

Although monopolist is the single producer but still he or she cannot charge any price as the rule of price and demand is applies to monopoly also.

answered
User NileshChauhan
by
8.4k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.