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Natural Monopolies Are Most Likely to Arise When Firms Have

Question 34

Multiple Choice

Natural monopolies are most likely to arise when firms have:


A) low start-up costs and low marginal costs.
B) high start-up costs and low marginal costs.
C) low start-up costs and high marginal costs.
D) high start-up costs and high marginal costs.

Correct Answer:

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