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8. natural monopoly analysis the following graph shows the demand (d) for cable services in the imaginary town of utilityburg. the graph also shows the marginal revenue (mr) curve, the marginal cost (mc) curve, and the average total cost (atc) curve for the local cable company, a natural monopolist. on the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. monopoly outcome 0 2 4 6 8 10 12 14 16 18 20 100 90 80 70 60 50 40 30 20 10 0 price (dollars per subscription) quantity (number of subscriptions) d mr mc atc which of the following statements are true about this natural monopoly? check all that apply. in order for a monopoly to exist in this case, the government must have intervened and created it. the cable company is experiencing economies of scale. the cable company is experiencing diseconomies of scale. the cable company must own a scarce resource. true or false: without government regulation, natural monopolies can earn positive profit in the long run. true false

Respuesta :

Natural monopolies are permitted when one firm can provide a good or service for less money than any potential rival, but they are frequently very tightly controlled to safeguard consumers.

What is the main goal of natural monopoly?

A monopoly in economics is naturally characterized as one that results from a market condition with extraordinarily high fixed costs or challenging entry barriers for startups in special business or offering consumer services.

Because there is only one most effective firm whose supply satisfies the demand in the market effectively, a natural monopoly exists. The power sector is one illustration.

Therefore, It applies to markets where it is advantageous to supply a product or service by a single business rather than by several.

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