SamuelRSmith said:
This isn't true, monopolies can only do this thing in markets which are necessities, not luxury items.
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"Strictly, monopolies exist when there is a single supplier in a market. Adam Smith, in the Wealth of Nations, provided a sustained attack on monopolies but thought of them more as multi-firmed industries with statutory protection along the lines of the medieval guilds."
Hmm actualy if there is only one supplier of a good in demand then it's not really relevant if the good is a luxury or a neccasity , because the item can only be obtained from one person that individual has full discression in how much they are able to charge for it... to an extent.
Even if a item is a neccasity there's only so much that can be charged for any item but I will agree that monoplies have more discression with neccasery items.
