Regulation Is Guaranteed to Be More Efficient Than a Monopoly

question 100

Multiple Choice

Regulation is guaranteed to be more efficient than a monopoly.

• A) True, the government is able to internalize the dead weight loss of the monopoly.
• B) True, the consumers are better off if government provides the product rather than a private firm.
• C) False, the government does not always have sufficient information to provide a more efficient market outcome.
• D) False, the consumers are worse off under government regulation.

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