Which of the Following Is an Argument in Support of Monopolies

question 18

Multiple Choice

Which of the following is an argument in support of monopolies?

• A) They increase output and raise prices,contributing to greater consumption of scarce resources.
• B) They are protected from competition so they have greater ability to pursue research and development.
• C) They contribute to efficient production when there are diseconomies of scale.
• D) They provide the economic profit necessary for survival and efficient production in a market.