In order to regulate a monopoly's price, the government

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In order to regulate a monopoly's price, the government needs accurate information on the monopoly's demand and cost curves. This information is necessary for the government to set a price that is fair for consumers and does not give the monopoly excessive profits. Hiring former executives from the monopoly or relying on industry experts may result in biased information that is not in the best interest of consumers. Additionally, knowing the monopoly's supply curve is not as important as knowing their demand and cost curves.

In Order to Regulate a Monopoly's Price, the Government