What is a key criterion involved in deciding a natural monopoly?
a. Size of the firm relative to its competitors.
b. Size of the firm relative to the total market demand for a product.
c. Magnitude of profits generated by the company.
d. A firm's ability to adapt to market changes.
b
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10% of the total food grains produced in a country during a year got damaged due to poor storage. Which of the following will happen in this case?
A) Imports will fall. B) Trade surplus will increase. C) GDP will remain unchanged. D) GDP will decrease.
I frequently buy something which then has a rebate offer attached. I must fill in all the information requested, send off the form and then wait 8 weeks for the rebate. This practice is referred to as
A. a profit maximizing markup. B. network economics. C. exclusive contracting. D. the hurdle model of price discrimination.