When there is only one buyer and one seller of product, it is called _______ situation.

Options

A. Public monopoly
B. Bilateral monopoly
C. Franchised monopoly
D. Monopsony

Answer

B

Explanation

A bilateral monopoly is a market structure consisting of both a monopoly (a single seller) and a monopsony (a single buyer).An example of a bilateral monopoly would be when a labor union (a monopolist in the supply of labor) faces a single large employer in a factory town (a monopsonist).