Which of the following is the BEST example of a natural monopoly?

Question

Quizplus · Accepted Answer

An electric utility is the best example of a natural monopoly as it provides essential services with high fixed costs and significant economies of scale, making it more efficient for a single firm to supply electricity rather than multiple smaller firms. Other options such as book publishers, coffee shops, and airlines do not have the same characteristics of high fixed costs and economies of scale that make them natural monopolies.

Which of the Following Is the BEST Example of a Natural