
The key difference between a monopolist and a competitor.

Explanation of Solution
The key difference between a monopolist and a perfect competitor is that a
Perfectly competitive market: The perfect competition is a market structure in which large number of buyers and sellers are selling the homogeneous product in the market. Thus, there will be no market control to any one seller in the market and the price and output decisions are determined by the market forces.
Monopoly: Monopoly is a market structure in which a single seller enjoys the largest market share with many buyers.
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Chapter 14 Solutions
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- Use the Feynman technique throughout. Assume that you’re explaining the answer to someone who doesn’t know the topic at all: 11. What exactly is a rectangular hyperbola and what relevance is it to classical economics?arrow_forwardUse the Feynman technique throughout. Assume that you’re explaining the answer to someone who doesn’t know the topic at all: 9. Explain the difference between absolute and comparative advantage in a family setting, i.e.using parents and children. What can we glean from knowing about comparative andabsolute advantages?arrow_forwardUse the Feynman technique throughout. Assume that you’re explaining the answer to someone who doesn’t know the topic at all: 18. Explain why most economists believe it is absolutely necessary to allow free trade in aneconomy. Why is it harmful (under most circumstances) to have tariffs and trade barriers?arrow_forward
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