Which of the following is not correct?
A)Antitrust laws may prevent mergers that would actually raise social welfare.
B)Public ownership is the most common public policy toward monopolies in the United States.
C)Regulation is a common strategy for a natural monopoly.
D)Sometimes the best public policy toward a monopoly may be to do nothing.

Question

Quizplus · Accepted Answer

Public ownership is not the most common public policy toward monopolies in the United States. In fact, public ownership of industries is relatively rare in the US and is typically only seen in certain sectors such as utilities (e.g. electricity, water) or transportation (e.g. Amtrak). Other policies such as antitrust laws, regulation and doing nothing are more commonly applied.

Which of the Following Is Not Correct