In a Natural Monopoly

question 6

Multiple Choice

In a natural monopoly,

• A)society would be better off if antitrust laws were used to create many different firms in the market.
• B)the marginal cost curve is positively sloped.
• C)if the government requires marginal cost pricing, it will likely have to subsidize the firm.
• D)the marginal revenue curve is horizontal.

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Definitions:

Past Sins

A term referring to wrongdoings or mistakes made in one's past.

Mixed Communication

A form of communication that utilizes both verbal and nonverbal methods to convey messages.

Continuously

Occurring without interruption or in an unbroken sequence of events.

Twirls

Repetitive, spinning or twisting movement, often referring to a behavior exhibited for self-soothing or as a part of a dance or performance.