One Method of Regulating a Natural Monopoly Is Known as Average-

question 87

Multiple Choice

One method of regulating a natural monopoly is known as average- cost pricing. Using this method, the regulator requires that the price be set equal to average

• A) internal cost.
• B) variable cost.
• C) total cost.
• D) marginal cost.
• E) fixed cost.

---

Definitions:

Resolve Conflict

To find a peaceful solution or ending to a disagreement or dispute.

Human Beings

Homo sapiens, the bipedal, intelligent species to which all modern human beings belong.

Strong Critical Thinking Skills

The ability to engage in clear, rational, and disciplined thinking analyzing and evaluating information and arguments.

Reflective Judgment

A critical thinking process in which individuals consider various perspectives and evidence before reaching a conclusion.