Question

which term describes a situation where the supplier of a service or good has control of all or nearly all of its market?
a. oligopoly
b. monopolistic competition
c. duopoly
d. perfect competition
e. monopoly

Explanation:

To solve this, we analyze each option:

• Option A (Oligopoly): A market with a few large firms, not a single supplier. Eliminate.
• Option B (Monopolistic Competition): Many firms with differentiated products, not a single supplier. Eliminate.
• Option C (Duopoly): Two firms in the market, not a single supplier. Eliminate.
• Option D (Perfect Competition): Many firms, homogeneous products, no single control. Eliminate.
• Option E (Monopoly): Defined as a market structure where there is a single seller (supplier) who controls all or nearly all of the market for a good or service. This matches the description.

Answer:

E. Monopoly