A monopoly is characterized by an absence of or decline in competition. The ABC Company realizes that its operations are in competitive industries.

Which of the following conclusions may be inferred from the above?

Correct answer marked below

ABC's market is not monopolistic.

Correct

Monopoly is defined as one seller in a market.

The ABC Company has no domestic competitors.

The ABC Company is publicly owned.

The ABC Company is in a service industry.

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Comments

KaiApr 20

This one felt pretty straightforward. If monopolies have no competition and ABC is in competitive industries, the conclusion basically writes itself.

TanishApr 29

yeah agreed, took me like 30 seconds haha

ArhanMay 30

wait why is (B) wrong? it kind of sounds true about monopolies in general...

JackJun 9

because the question is asking what we can infer about ABC, not the general definition of monopoly. B doesn't mention the company at all.

What this question tests

Whether you can draw a conclusion that must follow from the stated facts.

Choosing an option that could be true or is likely true — inference answers must be guaranteed by the passage.

A monopoly is characterized by an absence of or decline in competition. The ABC Company realizes that its operations are in competitive industries.Which of the following conclusions may be inferred from the above?