Which of the following is NOT a criticism sometimes levelled at monopolies?
A) A monopoly creates a welfare loss.
B) A monopoly leads to improved economies of scale in production.
C) A monopoly retards innovation.
D) A monopoly promotes inefficiency.

Question

Quizplus · Accepted Answer

Improved economies of scale in production are actually seen as a potential benefit of monopolies, rather than a criticism. Monopolies are more commonly criticized for creating a welfare loss, retarding innovation, and promoting inefficiency.

Which of the Following Is NOT a Criticism Sometimes Levelled