Monopoly: Single Seller Dominates the Market

Steps:

• Recall that a monopoly is a market structure with barriers to entry preventing competition.
• Identify the seller side: Monopolies feature one seller controlling the entire supply.
• Identify the buyer side: Multiple buyers exist, as the seller faces a market demand curve.
• Match to options: Look for "single seller" with "many buyers."

Why B is correct:

• By definition, a monopoly has one seller (monopolist) facing many buyers, allowing price control without rivals.

Why the others are wrong:

• A: Describes perfect competition with numerous participants on both sides.
• C: Represents monopsony, where one buyer faces many sellers.
• D: Indicates bilateral monopoly, rare and not standard for a monopoly.

Final answer: B