Which of the following is not a possible source of natural monopoly?

Question

Quizplus · Accepted Answer

Rent-seeking behavior is not a source of natural monopoly. Natural monopoly arises when a single firm can provide goods or services to an entire market at a lower cost than any potential competitor due to factors such as large-scale network effects and specialized inputs. Rent-seeking behavior refers to actions taken by individuals or firms to seek economic rents, or profits in excess of what would be generated in a competitive market, through manipulation of government regulations or other means. This is not directly related to the production or distribution of goods or services and does not create a natural monopoly.

Which of the Following Is Not a Possible Source of Natural