Unregulated natural monopolies:
A)never capture the lowest costs per unit possible.
B)can capture profits by restricting output.
C)never create problems for policymakers.
D)are always protected by government policies.

Question

Quizplus · Accepted Answer

Unregulated natural monopolies can capture profits by restricting output to charge higher prices, as they face little to no competition. This is a common strategy for monopolies to maximize their profits.

Unregulated Natural Monopolies