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What are the principal conditions that allow monopolies to exist?

A. Licenses
B. Barriers to entry
C. Technologies
D. Price discrimination

User Srnvs
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2 Answers

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B: Barriers to entry.

Barriers to entry prevent other firms from joining the market.
User Georgy Pashkov
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Answer: B: Barriers to entry

Barriers to entry are the principal conditions that allow monopolies to exist.

Explanation:

A monopoly refers to an industry or a market where there is a single seller selling a special or unique product. The seller is the sole seller of a product with no close substitute and as such the seller does not face competition. The monopolist decides the price in the market and maintains super normal profit in the long.

User German Alzate
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