MindTap - Cengage L x 6 9 C i ng.cengage.com/staticb/ui/evo/index.html?deponment|d=598281111812636001262909420&e|SBN=9780357133606&id=1190194868&snapsh... i} L 6 '1'" g G I at o 5 Apps 9 M Gmail 6 Cuse Email E GoogleCalendar-m i: Cengage m Blackboard VitalSource Books... 6 iCIoud-Find My i... u ForYou-Xfinity s... - DMD-New Bloo... i Reading List ; Lily v {3CENGAGE I MINDTAP Q Search this course My Home Homework (Ch 15) X Courses Attempts Score/ 1 Catalog and StUdY \"'05 2. Sources of monopoly power Rental Options A monopolist, unlike a competitive rm, has some market power. It can raise its price, within limits, without the quantity demanded falling to zero. The main way it retains its market power is through barriers to entrythat is, other companies cannot enter the market to create competition in that College SUCCESS TiPs particular industry. Career Success Tips Complete the following table by indicating which barrier to entry appropriately explains why a monopoly exists in each scenario. HEIP Barriers to Entry Exclusive Government- Give Feedback Ownership of a Created Economies Scenario Key Resource Monopolies of Scale The Aluminum Company of America (Alcoa) formerly controlled all U.S. sources of bauxite, a key component in the production of aluminum. Given that Alcoa did not sell bauxite to any other companies, Alcoa was a monopolist in the U.S. aluminum 0 O 0 industry from the late 19th century until the 19405. In the natural gas industry, low average total costs are obtained only through large-scale production. In other words, the initial cost of setting up all the necessary pipes and hoses makes it risky and, most likely, unprofitable for O O O competitors to enter the market. At the national level, the Federal Communications Commission licenses only a certain number of radio and television stations in each geographic area. 0 O O Save & Cont ue Continue without saving