A Natural Monopoly Regulated with an Average Cost Pricing Rule

question 18

Multiple Choice

A natural monopoly regulated with an average cost pricing rule is

• A) efficient and incurs an economic loss.
• B) inefficient and makes zero economic profit.
• C) inefficient and makes an economic profit.
• D) efficient and makes zero economic profit.

---

Definitions:

People Speak

Refers to the way in which a population expresses themselves through language, emphasizing the natural evolution of dialect and colloquialisms.

English

A West Germanic language originating in England, now the primary language of several countries and an international language of business and communication.

Arapaho

A Native American tribe historically located in the Great Plains, known for their rich culture and history.

Linguistic Fluency

The ability to speak, write, or comprehend a language easily and accurately.