Which of the following statements is not correct?
A)The government may use antitrust laws to break up an existing company to improve competition.
B)The government may break up a natural monopoly to lower the price charged to customers.
C)Private ownership is typically preferred to public ownership.
D)Sometimes the best strategy is for the government to do nothing about monopoly inefficiency because the "fix" may be worse than the problem.

Question

Quizplus · Accepted Answer

Natural monopolies are typically not broken up because they can provide goods or services more efficiently than multiple firms due to economies of scale. Instead, they are often regulated to control prices and protect consumers.

Which of the Following Statements Is Not Correct