Difference between revisions of "Monopoly"
Jump to navigation
Jump to search
| Line 1: | Line 1: | ||
| − | A monopoly is a single firm that sells a product having no close substitutes. The firm has almost no competitors. | + | A monopoly ''(from the Greek words "Mono," meaning "Singular" and "Poly," meaning "plentiful")'' is a single firm that sells a product having no close substitutes. The firm has almost no competitors. |
In the United States, as a result of the Sherman Antitrust Act of 1890 and subsequent legislation, monopolies are illegal; more specifically, | In the United States, as a result of the Sherman Antitrust Act of 1890 and subsequent legislation, monopolies are illegal; more specifically, | ||
Revision as of 03:18, March 20, 2007
A monopoly (from the Greek words "Mono," meaning "Singular" and "Poly," meaning "plentiful") is a single firm that sells a product having no close substitutes. The firm has almost no competitors.
In the United States, as a result of the Sherman Antitrust Act of 1890 and subsequent legislation, monopolies are illegal; more specifically,
- While it is not illegal to have a monopoly position in a market, the antitrust laws make it unlawful to maintain or attempt to create a monopoly through tactics that either unreasonably exclude firms from the market or significantly impair their ability to compete.[1]
References
- ↑ Maintaining or Creating a Monopoly, U. S. Federal Trade Commission website