Case-2

Rail transport or train transport is a means of transferring passengers and goods on wheeled vehicles running on rails, which are located on tracks.Indian Railways is India's national railway

system operated by the Ministry of Railways. It is one of the public facilities given by the government and manages the fourth largest railway network in the world by size; with a route, length of 67,368- kilometre.Indian railway is the only railway service provider in India. There is no other company providing railway service in the country. It is the largest public sector enterprise in the country and entry of other companies/service providers are legally prohibited. Being the single operator, it has the sole right to fix the price of various services including passenger fare and cargo services.

Questions: [ Student has to write answer at least 125 words for each sub-question]

i) Identify the market structure mentioned in the case. (1 marks)

ii) Among the different market structure you learned, which market ensure the maximum consumer satisfaction. Justify your answer (3 marks)

iii) Explain how a market structure without any competition affect the interest of the consumers? (3 marks)

iv) Explain how a market with a single firm differ from other markets in terms of freedom of entry and price fixation? (3 marks)