Statement I.Only natural monopolies are illegal in the United States.
Statement II.Large firms generally operate at peak efficiency.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.

Question

Quizplus · Accepted Answer

Statement I is false because not all natural monopolies are illegal in the United States; they are often regulated. Statement II is false because large firms do not always operate at peak efficiency due to potential issues like bureaucracy and communication problems.