Which is the most accurate statement?

A) There are no limits to monopoly power.
B) The market limits monopoly power through the development of substitutes.
C) If there were just one wheat farm in the United States,it would have a natural monopoly.
D) There is no way that we can justify the existence of monopolies.

Monopoly Power

Monopoly Power is the ability of a monopoly firm to set and control prices due to the lack of competitive market forces.

Wheat Farm

A type of agricultural establishment primarily engaged in the cultivation of wheat.

Natural Monopoly

A scenario in which a single company is able to offer a product or service more cheaply than any possible rivals, usually as a result of benefiting from the economies of scale.