What do we call a firm granted exclusive rights in a specific market by a government?

The term for a firm that is granted exclusive rights in a specific market by a government is commonly referred to as a regulated monopoly. In this context, a regulated monopoly occurs when a government allows a single firm to operate without competition in a specific market, typically to ensure that essential services are provided efficiently and at reasonable prices. This regulatory framework aims to control prices and maintain service quality, addressing concerns that may arise from a lack of competition, such as price gouging or subpar service delivery.

The distinction between regulated monopoly and other market structures like monopoly, market leader, or oligopoly is important. A straightforward monopoly refers to a single seller in a market without government backing, while a market leader describes a company that holds the highest market share in its industry, which may or may not be a monopoly. An oligopoly, on the other hand, involves a few firms dominating the market instead of just one. Thus, the concept of a regulated monopoly emphasizes government intervention designed to achieve specific economic or social objectives, differentiating it from these other market structures.