In a Natural Monopoly

question 13

Multiple Choice

In a natural monopoly,

• A)marginal costs follow variable costs.
• B)total costs are large compared to fixed costs.
• C)fixed costs are large compared to variable costs.
• D)variable costs are large compared to fixed costs.
• E)total costs are small compared to variable costs.

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Definitions:

Legal Hourly Minimum Wage

The lowest hourly pay that employers are legally allowed to pay their workers, as mandated by government law.

Secondary Labor Market

Employment sectors characterized by low pay, low job security, and poor working conditions, often distinguished from primary sectors which offer better employment conditions.

Primary Labor Market

Refers to high-skilled, high-paying jobs that usually require a higher level of education or training, often offering benefits and job security.

High School Diploma

A certificate awarded upon successful completion of secondary education, signifying that the recipient has met the required educational standards.