A monopoly is a market structure in which there is a single seller of a commodity which has no close substitute. It is an extreme case of imperfect competition in the exclusive opportunity to undertake the production of a certain commodity exist in the mind of the economists and in the theoretical world rather than in a practical sense. This is not to say that their are no industries that are partially tending towards monopoly or towards perfect competition. Be it as it may, there is neither perfect monopoly nor perfect perfectly competition market in practice.
For (BCH) firm to be classified as a monopolist , two conditions must be evident. There must be absence of close substitutes and (BCH) firm must have the ability to control or restrict the entry of new firms.
The commodity dealt in by the monopolist has inelastic demand, a fact which provide an indication that the monopolist can increase the price and still enjoys demand.
However , a firm operating under monopoly i.e (BCH) can merely determine either the price or the output but not the two at a time since he lack control over demand.
Conditions in M
Profit maximisation occurs when the marginal revenue equates the marginal cost. Marginal revenue is however not equal to price but less than price. An increase in output or sales must certainly be accompanied by a decrease in price. Price is also greater than average cost since it is not equal to marginal revenue.
Firms operating under monopolistic situation has the wherewithal to make abnormal profit both in the short run and long run.
FEATURES OF A MONOPOLY
They are as follow;
.1.Single seller of a commodity: The monopolistic market is characterized by only one seller or a combination of firms under one management (BCH). This means the seller has no rival.
.2. No free entry: There is no free entry as entry is restricted or disallowed. This insinuates that other firms or producers can not enter the trade when they wish to do so.
.3. No perfect substitute: There is no perfect substitute for the product of the monopolist (BCH). The monopolist's (BCH) product is not the same with the product of other producer.
Other include:
No free flow of information
No free mobility of factor. and
Price or output control
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You should have refined your article, right from the title to the body of the article and conclusion. BCH cannot be monopolised or restricted in terms of trading, as many exchanges will definitely boost its popularity.