The Reason to Regulate Utilities Instead of Using Antitrust Laws

question 111

Multiple Choice

The reason to regulate utilities instead of using antitrust laws to promote competition is that a utility is usually a

• A)profit-maximizing monopoly.
• B)producer of externalities.
• C)revenue-maximizing monopoly.
• D)natural monopoly.

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Definitions:

Interposition

A visual cue in psychology that helps to create the perception of depth, with one object partly blocking another suggesting the former is closer to the viewer.

Principle of Occlusion

A perceptual principle stating that objects closer to the viewer obscure part of objects that are farther away, helping in depth perception.

Judging Distance

The cognitive ability to estimate the gap or the spatial separation between the observer and a particular object or location.

Three-Dimensional

Relating to or having three dimensions (length, width, and height), which allows for the perception of depth and volume.