If you were the only one that sold (produced) the product, then you could sell it for whatever you wanted. There would be nothing to compare it to. Therefore, you could get more money out of it than if there was someone else producing the same product. More competition means varied prices.
competition
Existence of large firms, no competition and influence over the prices are some of the characteristics of monopolistic competition.
The opposite of pure competition is monopoly. In a monopoly, a single seller dominates the market, controlling prices and supply without competition. Unlike pure competition, where many firms offer identical products and no single firm can influence market prices, a monopolistic market can lead to higher prices and reduced choices for consumers. Other forms of market structures, such as oligopoly and monopolistic competition, also differ from pure competition but do not have the same level of market control as a monopoly.
Trusts put smaller competitors out of business using unfair tactics. Trusts could unfairly raise prices since they had no competition. Trusts had too much influence on government officials.
higher than in perfect competition
competition
Existence of large firms, no competition and influence over the prices are some of the characteristics of monopolistic competition.
The opposite of pure competition is monopoly. In a monopoly, a single seller dominates the market, controlling prices and supply without competition. Unlike pure competition, where many firms offer identical products and no single firm can influence market prices, a monopolistic market can lead to higher prices and reduced choices for consumers. Other forms of market structures, such as oligopoly and monopolistic competition, also differ from pure competition but do not have the same level of market control as a monopoly.
Trusts put smaller competitors out of business using unfair tactics. Trusts could unfairly raise prices since they had no competition. Trusts had too much influence on government officials.
Theoretically, competition keeps prices low because various firms vie for the business of consumers. When they compete, they attempt to win a larger market share by lowering prices. Therefore, if competition is lacking, prices will increase. Take a monopoly for example. No competition means they can set really high prices.
competition leads to lower prices
higher than in perfect competition
competition leads to lower prices
higher than in perfect competition
Competition helps to keep the quality high and prices down. If competition decreases, the quality can go down and the prices can go up in that industry.
Trust could unfairly raise prices since they had no competition
Ruthless business people would lower their prices to put their competition out of business. Once their competition was gone, they would raise their prices.