Question

‘Competition is an essential element of an efficient market economy. If there is a monopoly then there is no competition. Monopolies exist in all economies and, therefore, all economies must be inefficient.’ Discuss this opinion.

Answer 1

Answer: I think this will be the answer may be..

The reference is not true to some extent. This is because, market include monopoly but it doesn't include 'only' monopoly. Other markets do exist. Thus, competitions and market environment also change which never led market to be inefficient.