Question

How does the market price of a good in a monopoly market compare with the market price of the same good in a perfectly competitive market?

A. The price is higher. B. The price is lower.
C. The prices cannot be compared.
D. The prices are the same.

Answer 1

A. The price is higher.

Step-by-step explanation:

The main difference between a competitive market and a monopolistic market is that in the competitive market the bidders have no power to influence the price, which is determined by the market through the interaction between supply and demand. In the monopolistic market, the only offeror has the power to decide the offer price. Therefore, in monopolies the price is higher than in competitive markets.

Answer 2

In a monopoly, prices are usually higher
because there's no competition,
whereas in a competitive market items which are not priced orderly may never sell
so correct option is A
hope it helps