A Natural Monopoly Is a Market Where

question 6

Multiple Choice

A natural monopoly is a market where

• A) a single firm has control over a vital natural resource.
• B) many smaller firms can produce the entire market output at the same per-unit cost as could one large firm.
• C) a single large firm can produce the entire market output at a lower per-unit cost than a group of smaller firms.
• D) many smaller firms can produce the entire market output at a lower per-unit cost than could one large firm.

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Definitions:

Substantially Equal

Describes items or quantities that are nearly identical in value, size, or importance, within a reasonable degree of variation.

Implied Employment Contracts

These are employment agreements not explicitly stated but inferred from actions, circumstances, or oral statements by the employer or employee, suggesting a mutual understanding or expectation regarding the employment relationship.

Reasonable Expectations

A legal standard used to assess what an average person might anticipate in a given set of circumstances.

ADA

Americans with Disabilities Act; a civil rights law that prohibits discrimination against individuals with disabilities in all areas of public life.