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Consumers may not experience the benefits of economies of scale if a natural monopoly

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

See attachment and type out the correct answer ASAP with proper explanation of the each option given below. Will give you thumbs up only for the correct answer. Solve within 40 50 minutes. Thank you

Consumers may not experience the benefits of economies of scale if a natural monopoly
Multiple Choice
raises price and fails to pass cost savings on to consumers.
is regulated by the government.
engages in marginal-cost pricing.
raises output beyond efficient levels.

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