In an industry characterized by a natural monopoly, which of the following characteristics will be observed?
a. The long-run average cost curve will be upward sloping.
b. The market price of the product will be very low.
c. Competition is both impossible and inefficient.
d. Number of producers operating in this market will be low.
C
Economics
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How do firms in monopolistic competition compete?
What will be an ideal response?
Economics
When a resource has a perfectly elastic supply curve
A) the amount of economic rent for the resource is determined by its supply. B) the amount of economic rent for this resource is determined by demand for the resource. C) there is no economic rent being earned by this resource. D) the entire payment received by this resource is economic rent.
Economics