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Question 20N.3.HL.TZ0.1d

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Date November 2020 Marks available [Maximum mark: 2] Reference code 20N.3.HL.TZ0.1d
Level HL Paper 3 Time zone TZ0
Command term State Question number d Adapted from N/A
d.
[Maximum mark: 2]
20N.3.HL.TZ0.1d
(d)

State two assumed characteristics of a monopoly.

[2]

Markscheme

Award [1] for each valid characteristic:

  • single or dominant firm in the market OR market power/price-setting power
  • no close substitutes
  • significant barriers to entry.

Any other valid characteristic.

Examiners report

Generally well-answered by the majority. Weaker responses stated that "abnormal profit" was a characteristic rather than a consequence of the market characteristics.

Syllabus sections