ECO 550 Week 6 Discussion Question: "Monopolies"

Please respond to the following:

• From the first e-Activity, imagine this company acting as a monopoly was to have a new competitor arrive in the marketplace. Assess how the monopoly would likely change its pricing strategy to compensate for the new competition.

From the first e-Activity, speculate how the monopolist could be more efficient in the long-run considering new competition has entered the marketplace