ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -What is Monopoly. Definition: A market structure characterized by a single seller, selling a unique product in the market. In a monopoly market, the seller faces no competition, as he is the sole seller of goods with no close substitute.

Detailed explanation-2: -A monopoly is a market dominated by a single seller. Instead of many buyers and sellers, as is the case with perfect competi-tion, a monopoly has one seller and any number of buyers. Barriers to entry make monopolies possible. Monopolies can take advantage of their monopoly power and charge high prices.

Detailed explanation-3: -A monopoly is defined as a single seller or producer that excludes competition from providing the same product. A monopoly can dictate price changes and creates barriers for competitors to enter the marketplace.

Detailed explanation-4: -A monopoly is a structure in which a single supplier produces and sells a given product or service. If there is a single seller in a certain market and there are no close substitutes for the product, then the market structure is that of a “pure monopoly".

Detailed explanation-5: -The correct answer is Monopsony. A monopsony occurs when a firm has market power in employing factors of production. It means there are one buyer and many sellers. When the market is under a monopsony, the market is dominated by a single buyer while, in the case of monopoly, a single seller is seen in the market.