In a Natural Monopoly, Throughout the Range of Market Demand

question 53

Multiple Choice

In a natural monopoly, throughout the range of market demand

• A)marginal cost is above average total cost and pulls average total cost upward.
• B)average total cost is above marginal cost and pulls marginal cost upward.
• C)marginal cost is below average total cost and pulls average total cost downward.
• D)there are diseconomies of scale.

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Definitions:

Desires

Strong feelings of wanting to have something or wishing for something to happen.

Theory of Mind

The capability to attribute mental states—beliefs, intents, desires, emotions, knowledge—to oneself and others, and understand that others have beliefs, desires, and perspectives different from one's own.

Fusiform Face Area

A region of the human brain's visual system that is specialized in recognizing faces.

Beliefs

Convictions or acceptances that something exists or is true, especially without proof. They can strongly influence attitudes and behavior.