A Natural Monopoly Exists When

question 152

Multiple Choice

A natural monopoly exists when

• A)unit costs are minimized by having one firm produce an industry's entire output.
• B)several formerly competing producers merge to become the only firm in an industry.
• C)short-run average total cost curves are tangent to long-run average total cost curves.
• D)minimum efficient scale is attained at a small level of output.

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Definitions:

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The actions or reactions of an individual, usually in relation to the environment or stimuli; how one conducts oneself.

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A specific frequency or band of frequencies allocated for transmitting and receiving radio waves.

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A psychological condition in which an individual perceives they have no control over the outcome of events, leading to passive or depressive behaviors.

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A process in behaviorism where a subject learns a response to avoid an unpleasant stimulus.