Natural Monopoly
A type of monopoly that is established by the market itself. The monopolist does not have the pretensions to be in monopolistic position, but due to market conditions, he is the only producer in the industry.
This is often because the industry itself demands high initial fixed costs, where only one producer can survive in the long run.
Also, Natural Monopoly refers to a situation in one industry when one company can provide some goods more efficient than if there were two producers in the same industry. This type of natural monopoly does not necessary imply that there is only one producer in the industry, but only that two or more producers in that industry will perform less efficient.
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