Under a Marginal Cost Pricing Rule, a Regulated Natural Monopoly

question 433

Multiple Choice

Under a marginal cost pricing rule, a regulated natural monopoly

• A) makes a positive economic profit and there is a deadweight loss.
• B) makes zero economic profit and there is no deadweight loss.
• C) incurs an economic loss and there is a deadweight loss.
• D) incurs an economic loss and there is no deadweight loss.

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