Which of the Following Will Occur If a Natural Monopoly

question 187

Multiple Choice

Which of the following will occur if a natural monopoly is broken into two smaller firms?

• A)The price will drop.
• B)Industry output will increase.
• C)Production costs will increase.
• D)Industry output will decrease.

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Definitions:

Automotive Maintenance

The practice of regularly servicing vehicles to ensure they operate efficiently, including tasks such as oil changes, tire rotations, and brake inspections.

Company's Success

The achievement of specific goals and objectives by a company, often measured by financial performance, market share, or other key indicators.

Administering Pay and Benefits

The process of managing and overseeing employee compensation and benefits packages.

Year-end Bonuses

Financial rewards given to employees at the end of the fiscal year, often based on performance or as part of a holiday tradition.