Which of the Following Statements Is False

question 23

Multiple Choice

Which of the following statements is false?

• A)Average-cost pricing usually refers to setting a price for a natural monopoly firm that is equal to its ATC, thus guaranteeing the firm a normal profit.
• B)An economist thinks that there are both benefits and costs to most (if not all) types of regulation.
• C)The public choice theory of regulation holds that regulators are seeking to do, and will do through regulation, what is in the best interest of the society at large.
• D)One of the unintended effects of profit regulation (in the form of guaranteeing the natural monopoly firm that it will always earn normal profit-nothing more and nothing less) is that the natural monopoly has no incentive to keep its costs down.

---

Definitions:

Forward Scheduling

A planning method where tasks are scheduled from the present date forward into the future, aiming to meet deadlines by determining the earliest possible start times.

Unintentional Outputs

Unintentional outputs are results or consequences that occur without being a primary target or goal of an action or process, often unexpected.

Output Phase

The stage in a production or operation process where the final product or service is completed and ready for consumption or distribution.

Inventory Cost

Inventory cost includes all costs associated with procuring, storing, and managing goods a business intends to sell.