Question

A monopoly increases a corporation's profits by

a
outlawing labor unions.
b
using mass production to lower costs.
c
minimizing financial risks for investors.
d
eliminating competition to control prices.

Answer 1

Answer:

D

Explanation:

D is almost the precise definition of what a monopoly is. It eliminates all competition so that it can control prices.

A: not the answer. It can allow labor unions. It is more concerned about the competition.

B: It probably does use mass production, but this is not the answer. Mass production will help lower costs, but that is not its main feature.

C: The refutation is more like B. It helps lower costs, but that is not what a monopoly does. See the answer to D.