monopolies and market power

Monopolies refer to situations where a single company or entity has exclusive control over the supply or trade of a particular good or service in the market. Market power, on the other hand, represents the ability of a firm or group of firms to influence and control the market by setting prices, limiting competition, or manipulating market conditions. Both concepts involve dominance in the market, but monopolies specifically denote the absence of competition, while market power encompasses the ability to manipulate market dynamics, regardless of the level of competition.

Requires login.