If a City Owns and Operates the Local Electricity Utility

question 228

Multiple Choice

If a city owns and operates the local electricity utility where price equals marginal cost,one can infer that

• A) some fraction of the tax revenue raised by the city will pay for the losses of the electricity utility.
• B) service will,necessarily,be poor.
• C) the utility will generate "profit" for the city.
• D) service will,necessarily,be good.
• E) electricity prices will rise more quickly when compared to private ownership.

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Rites of Passage

Ceremonial events marking significant transitions in an individual's life, such as birth, puberty, marriage, and death, often imbued with cultural and spiritual significance.

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