At one time, the FCC auctioned off the rights to use public airwaves for wireless communications devices, receiving $23 billion dollars in bids for 4,249 licenses. More than $10 billion was turned over to the U.S. Treasury. These auctions may be thought of as a government sale of a monopoly since one company's use of a particular frequency prevents another from using it. Who gains and who loses when the government sells a monopoly, compared to the case where monopolies don't require licenses to operate? Explain.

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The Answer of At one time, the FCC auctioned off the rights to use public airwaves for wireless communications devices, receiving $23 billion dollars in bids for 4,249 licenses. More than $10 billion was turned over to the U.S. Treasury. These auctions may be thought of as a government sale of a monopoly since one company's use of a particular frequency prevents another from using it. Who gains and who loses when the government sells a monopoly, compared to the case where monopolies don't require licenses to operate? Explain.

At One Time, the FCC Auctioned Off the Rights to Use