If market demand is perfectly inelastic then a monopolist ha

If market demand is perfectly inelastic, then a monopolist:

has no market power.

charges the same price as if the market were instead perfectly competitive.

charges a lower price than if the market were instead perfectly competitive.

has the greatest possible amount of market power.

Solution

Perfectly Inelastic Demand-A situation that occurs when the overall consumer requirements for a particular good or service do not vary when its price changes. A business that produces a good with a virtually perfect inelastic demand curve would usually be able to set their price for the good at a high level to sustain the current level of consumer demand.
Monopolistic Market- A market structure in which several or many sellers each produce similar, but slightly differentiated products. Each producer can set its price and quantity without affecting the marketplace as a whole.

In this market if its product is high quality product ,then he can charge high price, but he should consider other close rival firms price.
Perfectly Competetive Market-

A market structure in which the following five criteria are met:

1) All firms sell an identical product.

2) All firms are price takers - they cannot control the market price of their product.

3) All firms have a relatively small market share.

4) Buyers have complete information about the product being sold and the prices charged by each firm.

5) The industry is characterized by freedom of entry and exit. Perfect competition is sometimes referred to as \"pure competition\".

In this market the firm is not able for fixing its price ,It is only a price taker .Price is decided only with effect of total Demand and total supply.So this price will be less.either demand is perfectly elastic or perfectly inelastic.