| A | B |
|---|
| monopoly | a market in which a single seller dominates |
| economies of scale | factors that cause a producer's average cost per unit to fall as output increases |
| natural monopoly | a market that runs most efficiently when one large firm supplies all of the output |
| government monopoly | a monopoly created by the government |
| patent | a license that gives the invtor of a new product the exclusive right to sell it for a specific period of time |
| franchise | a contract that gives a single firm the right to sell its goods wihtin an exclusive market |
| license | a government-issued right to operate a business |
| price discrimination | the division of consumers into groups based on how much they will pay for a good |
| market power | the ability of a company to control prices and total market output |
