Asked by Brandt Cortina on Apr 24, 2024
Verified
Which statement is true?
A) Monopolies tend to be inefficient.
B) Most industries in the United States are monopolies.
C) All electric power companies are natural monopolies that do not have any type of competition.
D) Although big business has great economic power,that power is rarely translated into political power.
Economic Power
The ability of countries, businesses, or individuals to influence market conditions, production, and financial resources on a scale that can impact global or local economies.
- Familiarize oneself with the foundational aspects of monopolies, focusing on demand curves and the provision of supply in the sector.
Verified Answer
AR
Abdellah RahmouneMay 02, 2024
Final Answer :
A
Explanation :
Monopolies tend to be inefficient because they have no competition, which can lead to a lack of incentive to improve products or lower prices. This can result in lower quality products, higher prices for consumers, and an overall reduction in economic efficiency.
Learning Objectives
- Familiarize oneself with the foundational aspects of monopolies, focusing on demand curves and the provision of supply in the sector.