All of the following EXCEPT one are reasons for monopolies to be regulated. Which is the exception?
A)Monopolies are guaranteed to make economic profits in the long run.
B)Monopolies are inefficient.
C)The existence of monopolies may lead to a more unequal distribution of benefits.
D)Monopolists produce below efficient level of production.
E)Monopolies charge excessive prices.

Question

Quizplus · Accepted Answer

Monopolies are not guaranteed to make economic profits in the long run due to potential changes in demand, technology, or regulatory environments. The other options (B, C, D, E) are common reasons for regulating monopolies due to their negative impacts on efficiency, equity, and consumer prices.

All of the Following EXCEPT One Are Reasons for Monopolies