Monopoly profits lead to technological process by

Question

Quizplus · Accepted Answer

Monopoly profits create an incentive for other firms to enter the market by developing new innovations that can break the monopoly. This competition can lead to technological progress and advancements in production processes. Investing deadweight loss (A) does not necessarily lead to technological progress, and lobbying Congress for protection (C) is not a productive way to encourage technological progress. While monopoly profits can potentially increase investment in human capital, it is not as direct of a pathway to technological progress as stimulating innovation through competition.

Monopoly Profits Lead to Technological Process by