Monopolies, Pools, and Trusts. A Monopoly: What Is It?. A single seller of a product (good or service). Monos : single, alone Polo : to sell Lack of Competition means Higher Prices Inferior Goods and Services Less Innovation
Do you try harder when you’ve got competition? So do businesses!
Think of two runners in a race…
Local Water Company
Stockholders turn over stock to board of trustees.
Many smaller, competing firms merge into one big company.
The trust can manage the companies without owning them!