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Which of the Following Statements About Natural Monopolies Is Not

Question 152

Multiple Choice

Which of the following statements about natural monopolies is not true?


A) Natural monopolies can be eliminated through technological change.
B) Natural monopolies occur because of the nature of the market system.
C) Cost-curve characteristics are one reason natural monopolies occur.
D) Natural monopolies occur when minimum efficient scale is reached after demand is satisfied.
E) The average total costs of natural monopolies continue to decline over production.

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