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If the government wants to regulate a natural monopoly while ensuring the firm does not earn profits or require subsidies, the government will force the firm to set price equal to
Companies
Legal entities formed of individuals, shareholders, or members, aimed at operating for profit.
Excess Return
The return on an investment that exceeds the risk-free rate or a comparative benchmark or index.
Merger
A corporate strategy of combining distinct businesses under a single entity to enhance competitiveness and efficiency.
Shareholders
Shareholders are individuals or entities that own shares in a corporation, thus holding a portion of its ownership and rights to profits.
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