If a Natural Monopoly Increases the Quantity of Output It

question 43

Multiple Choice

If a natural monopoly increases the quantity of output it produces, then:

• A)its average cost will decrease.
• B)its average cost will increase.
• C)it will have to increase its price.
• D)its profit will increase.

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Definitions:

U.S. Supreme Court

The highest court in the United States, responsible for interpreting the Constitution and reviewing cases that involve federal law or constitutional issues.

Constitutional Unionist Candidate

A candidate representing the Constitutional Union Party, a political party in the United States formed in 1860 that sought to avoid secession by appealing to voters who wanted to keep the Union together without addressing the issue of slavery.

John Bell

A 19th-century American politician who was the Constitutional Union Party candidate for the 1860 presidential election.

1860 Election

The United States presidential election in which Abraham Lincoln was elected as the 16th President, leading to the secession of Southern states.