With a natural monopoly, the fair return price:
A. Is allocatively efficient; the socially optimal price is allocatively inefficient
B. Is allocatively inefficient; the socially optimal price is allocatively efficient
C. And the socially optimal price are both allocatively inefficient
D. And the socially optimal price are both allocatively efficient
B. Is allocatively inefficient; the socially optimal price is allocatively efficient
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To decrease the money supply, the Fed may
A) buy government securities in the open market. B) decrease the discount rate. C) increase the required reserve ratio. D) b and c E) all of the above
Which of the following statements about the long-term labor supply is FALSE?
A. Technology changes, such as the introduction of air conditioning in the mid-20th century, can have an impact on regional labor supply. B. The growth rate of the working-age population has been declining since 1980. C. Immigration provides an insignificant proportion of the overall growth of the workforce. D. Programs funded by payroll taxes, such as Social Security and Medicare, face problems from a slowdown in the growth of the working-age population.