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No,because in a monopolistic situation initially a company can gain because of it's superior pricing and no competition in the market but in the long run due to lack of productive competition,the system becomes lax and unproductive since there is no improvement in the system due to lack of competition.
What else can I help you with?
Will a monopoly always produce at a profit-maximizing level of output?
Most businesses aim to operate at its profit-maximizing level at all times, but many factors make this nearly impossible. For instance, if they are short on workers they wouldn't be able to maximize profits.
A profit maximizing monopolist with a positive marginal cost of production will always?
Produce in the elastic range of the demand curve
Does a monopoly firm always make profit?
NO, it depends on where the ATC (avg total cost) intercepts the MC (Marginal Cost)
Do monopolies always make profits?
Almost always. It is possible that a private firm could have a monopoly of some wholly unprofitable activity but it would probably discontinue it or else not exist for much longer. Unprofitable but necessary activities are often passed to some arm of government. For example, local government will often have a monopoly of fire-fighting services.
How can one calculate the deadweight loss caused by a monopoly?
To calculate the deadweight loss caused by a monopoly, you can use the formula: (1/2) x (monopoly price - competitive price) x (monopoly quantity - competitive quantity). This formula helps measure the inefficiency and economic loss resulting from a monopoly's ability to restrict output and charge higher prices than in a competitive market.
Will a monopoly always produce at a profit-maximizing level of output?
Most businesses aim to operate at its profit-maximizing level at all times, but many factors make this nearly impossible. For instance, if they are short on workers they wouldn't be able to maximize profits.
Do you roll 1 dice or 2 in monopoly?
2, always with 2
How might monopoly affect prices?
a monopoly if it has a high demand can push prices up simply people will pay for something that is in demand where as a monopoly with low demand will carry on selling the item for less but the way a monopoly works means that the person who is operating the monopoly will shift the supply lower to always push the price up.
What are the vowels in Monopoly?
The vowels in the word "monopoly" are o and y. o is always a vowel, buy y is a vowel here, because it sounds like ee. (lee).
A profit maximizing monopolist with a positive marginal cost of production will always?
Produce in the elastic range of the demand curve
Do dividends on pref shares always have to be paid?
Yes. Pref shares in a way is like a bond when the pref shareholder has a claim against the company.
What railroad for monopoly gets landed on the most?
i always land on the one closest to the go to jail square.
What is a sentence that has the word structure in it?
There is always a structure to every complete sentence.What is the structure of a paragraph?
Does a monopoly firm always make profit?
NO, it depends on where the ATC (avg total cost) intercepts the MC (Marginal Cost)
Advantages of wealth maximization?
Maximizing your wealth keeps you moving forward in life. With this type of strategy, you are always looking for better opportunities to make money.
Function always follows structure is referred to as the principle of what?
The principle of complementarity of structure and function.
Do monopolies always make profits?
Almost always. It is possible that a private firm could have a monopoly of some wholly unprofitable activity but it would probably discontinue it or else not exist for much longer. Unprofitable but necessary activities are often passed to some arm of government. For example, local government will often have a monopoly of fire-fighting services.
