Which one of the following is the most accurate description of a monopolist?
A. a sole producer of a narrowly defined product class, such as brown, Grade A eggs produced in Eagle County, Colorado
B. a firm that is very large relative to all its competitors within a narrow product class
C. a sole producer of a product for which good substitutes are lacking in a market with high barriers to entry
D. a large, multinational firm that produces a single product in a narrow product class
Answer:C
Which one of the following is the most accurate description of a monopolist?
A. a sole producer of a narrowly defined product class, such as brown, Grade A eggs produced in Eagle County, Colorado B. a firm that is very large relative to all its competitors within a narrow product class C. a sole producer of a product for which good substitutes are lacking in a market with high barriers to entry D. a large, multinational firm that produces a single product in a narrow product class
Explanation: 25. When a natural monopoly exists in a given industry, the per-unit costs of production will be