Monopoly Characteristics

3. Price Market

firm can manipulate the price by changing the quantity it produces

4. High Barriers to Entry

new firms cannot enter, no immediate competitors, firm makes long term profit

2. No substitutes

unique good with no substitutes

5. Some "Nonprice" Competition

Even though they have no close competitors, monopolies still advertise their products in an effort to increase demand

1. Single Seller

One Firm controls the market