Yes . because they are monopoly….that's the reason.. Since, they neither have competitors nor close substitutes to their product, Why don't they charge their own price, when the product in demand. read more
Exactly contrary, in monopoly the firms can manipulate the supplies in the market to create artificial scarcity to get higher price therefore, the firm is a price maker and not price taker. read more
Monopoly represents a situation of high market power and a firm with market power is called a price maker. This is in contrast to a competitive firm which is a price taker with zero market power. Because in the monopoly, there is only one seller for the product, any one who wants to buy the product must buy it from the monopolist. read more
A price maker is an entity, such as a firm, with a monopoly that gives it the power to influence the price it charges as the good it produces does not have perfect substitutes. A price maker within monopolistic competition produces goods that are differentiated in some way from its competitors' products. read more