Which of the Following Is the Best Example of a Natural

question 321

Multiple Choice

Which of the following is the best example of a natural monopoly?

• A) ownership of the only ferry across Puget Sound for twenty miles
• B) the United States Postal Service
• C) the cable television company in your hometown
• D) owning the only licensed taxicab in town
• E) producing a patented drug

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Definitions:

Requirements

Mandates or criteria set forth for achieving or maintaining a specific standard or fulfilling a specific condition.

Cover

In commercial transactions, the act of purchasing substitute goods when a seller fails to fulfill a contract.

Incidental Damages

Additional minor costs that a party incurs when the other party fails to fulfill a contract.

Unpaid Seller

A seller who has not received payment for goods supplied.