What is the relationship between demand and supply of a monopoly companies product?

A monopoly is characterized by the fact that a single company provides the good or service to the whole society. Thus, this type of structure contrasts with the elementary mechanisms of competitive market economy interaction, where price is determined according to the interaction between supply and demand. When demand increases, the price increases and the quantity offered increases. When the price decreases, the quantity offered decreases and the demand increases. However, in the case of monopoly, the offeror controls the quantity offered and has the power to decide on the price charged. This makes this type of service offer worse for consumers. The interaction between supply and demand will not cause prices to fall, since the monopolist has the power to decide production, quantity supplied and price charged.

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