Question

QUESTION 3 Which statement about monopolies is correct?  They are mostly the product of the complex financial systems that only developed at the end of the Middle Ages.  They are very profitable for owners, but usually result in dissatisfied producers and consumers.  The Portuguese were the only European power to avoid monopolies, finding them morally objectionable.  Monopolies provide consumers with the lowest price possible, since a company with a monopoly does not have to worry about competition.

Answer 1

The correct answer is "they are very profitable for owners, but usually result in dissatisfied producers and consumers.

The reason for this is because a monopoly controls all commerce in that particular market. When a monopoly has control, it can decide what prices to sell its goods, and often leaves buyers/consumers dissatisfied.