Answered: Natural monopolies result from…

Natural monopolies result from patents and copyrights. pricing strategies. extensive economies of scale in production. control over an essential natural resource.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Monopoly

Section14.5: Public Policy Toward Monopolies

Problem 5QQ

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Question

Natural monopolies result from

patents and copyrights.

pricing strategies.

extensive economies of scale in production.

control over an essential natural resource.

Definition Definition Market structure in which a single company dominates the entire industry. In a monopoly market, there are no close substitutes for the goods and services offered by the monopoly.

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