In a Natural Monopoly

question 13

Multiple Choice

In a natural monopoly,

• A)marginal costs follow variable costs.
• B)total costs are large compared to fixed costs.
• C)fixed costs are large compared to variable costs.
• D)variable costs are large compared to fixed costs.
• E)total costs are small compared to variable costs.

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Definitions:

Solar Cells

Instruments that directly transform sunlight into electrical energy via the photovoltaic effect.

Carbon Dioxide

This substance is a transparent, unscented gas generated through the combustion of carbon and organic materials as well as through respiration, and it is a naturally occurring part of the atmosphere absorbed by plants for photosynthesis.

Solar Space Heating

The use of solar energy to heat the interior of a building, reducing the reliance on traditional heating sources.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration, a greenhouse gas contributing to global warming.