-The Figure Above Shows a Natural Monopoly That the Government

question 74

Essay

-The figure above shows a natural monopoly that the government must regulate.If the government uses ________,the firm produces ________ units per week.
A) the HHI; 50
B) an average cost pricing rule; 30
C) rate of return regulation; 40
D) social interest regulation; 30
E) a marginal cost pricing rule; 20

• A) the HHI; 50
• B) an average cost pricing rule; 30
• C) rate of return regulation; 40
• D) social interest regulation; 30
• E) a marginal cost pricing rule; 20