The question (15 marks)
Compare perfect competition with monopoly. Why is monopoly said to be inefficient, and how does Indian competition law deal with the problem? (15 marks)
Standing MU question on Module 1 head 3, set as a comparison. Built from chapter 03 and worked examples 4 and 5.
Plan your answer on paper before you look at the authorities — issue first, then the rule, then apply it to these facts.
It tests Unit 1 · Foundation of Economics of Economics.
Authorities you will need
- Competition Act 2002, ss. 3 and 4, and the definitions of relevant market, relevant product market and relevant geographic market
- Statement on Industrial Policy, 24 July 1991, paragraph on the MRTP Act
How an answer is marked
A full-marks answer names the issue in one line, states the rule with its section, cites the authority, applies it to these facts and concludes — in that order. The app's model answer for this question is written in exactly that shape, with a checklist to mark your own attempt against.