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When Faced with a Natural Monopoly,the Government Will

Question 102

Multiple Choice

When faced with a natural monopoly,the government will:


A) Break up the natural monopoly
B) Do nothing,natural monopolies are good for the economy
C) Regulate the natural monopoly to decrease prices and increase production
D) Do nothing if the natural monopoly creates a negative externality
E) Do nothing because the natural monopoly provides a public good

Correct Answer:

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