Which Statement Is True

question 159

Multiple Choice

Which statement is true?

• A)All monopolies are good.
• B)All monopolies are bad.
• C)Most natural monopolies are government regulated or government owned.
• D)None of these statements are true.

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Definitions:

ATC

Average Total Cost, which is calculated by dividing the total cost by the quantity of output produced.

Economic Profit

The surplus or profit remaining after deducting both explicit and implicit costs, including opportunity costs, from total revenues.

Interest Rate

The percentage charged on a loan or paid on deposits over a specific period of time, often annually.

Economic Profit

The difference between a firm's total revenue and its total costs, including both explicit and implicit costs, reflecting the true profitability of the business.