In many countries, the government chooses to “internalize” the monopoly by owning monopoly providers of goods and services. (In some cases these firms are “nationalized” and the government actually buys or confiscates firms that operate in monopoly markets.) What would be the advantages and disadvantages of such an approach to ensuring the “best interest of society” is promoted in these markets? Carefully explain your answer.

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The Answer of In many countries, the government chooses to “internalize” the monopoly by owning monopoly providers of goods and services. (In some cases these firms are “nationalized” and the government actually buys or confiscates firms that operate in monopoly markets.) What would be the advantages and disadvantages of such an approach to ensuring the “best interest of society” is promoted in these markets? Carefully explain your answer.

In Many Countries, the Government Chooses to “Internalize” the Monopoly