Question

All of the following are characteristics of a monopoly except:

• A. There is a single firm.
• B. The firm is a price taker.
• C. The firm produces a unique product.
• D. The existence of some advertising.

Answer 1

The correct option is B The firm is a price taker.

In case of monopoly the finn and the industry are the same as there is only a single seller. Thus the firm itself is the price maker and not price taker.