How does monopoly can cause market failure?

In economics, always the answers are based on assumption. If else everything remains constant then the main cause of market failure is that the firm failed to recognize its core competencies or might...

Under/over provision of merit or demerit goods. Can be corrected by the imposing of taxation, subsidies, negative add campaigns, etc.

When goods are not fairly distributed.

Externality - Negative Externality And Positive Externality the positive externality is a cause of a market failure because producers do not take the benefits of externality into account to society,...

A monopoly is a trade market controlled by only one company, hence the prefix mono which means one. Its cause is greed. By being the only supplier of a good or service, the price is not competitive....