What is a key characteristic of a natural monopoly?

Natural Monopoly Concepts and Implications

Interactive Video
•
Business, Social Studies, Other
•
11th Grade - University
•
Hard

Patricia Brown
FREE Resource
Read more
10 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Low barriers to entry
High fixed costs
Low startup costs
Multiple firms in the market
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following is an example of a natural monopoly?
Water distribution
Retail clothing stores
Online marketplaces
Fast food chains
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Why do natural monopolies have a downward sloping long-run average cost curve?
Due to high variable costs
Because of low demand
Due to government regulations
Because of economies of scale
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is a potential consequence of competition in a natural monopoly market?
Higher quality products
Increased efficiency
Lower prices
Wasteful duplication of resources
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Why is competition considered undesirable in natural monopoly markets?
It leads to lower prices
It enhances innovation
It increases consumer choice
It results in allocative inefficiency
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What role do regulators play in natural monopoly markets?
They ensure allocative and productive efficiency
They increase competition
They eliminate all monopolies
They reduce fixed costs
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What challenge do private natural monopolists face when regulated at allocative efficiency levels?
Lower demand
Increased competition
Subnormal profits
Excessive profits
Create a free account and access millions of resources
Similar Resources on Wayground
11 questions
Economic Concepts and Externalities

Interactive video
•
10th - 12th Grade
8 questions
Understanding Creative Destruction: Impacts of Technological Change on Markets and Employment

Interactive video
•
11th Grade - University
11 questions
Monopoly Regulation and Pricing Concepts

Interactive video
•
11th - 12th Grade
11 questions
Dynamic Efficiency in Market Structures

Interactive video
•
11th Grade - University
4 questions
Monopoly Graph Review and Practice- Micro Topic 4.2

Interactive video
•
11th Grade - University
11 questions
Evaluating Monopoly Markets: Productive, Allocative, and Dynamic Efficiency

Interactive video
•
11th Grade - University
6 questions
2011 FRQ #1- Monopoly Graph

Interactive video
•
11th Grade - University
11 questions
Market Structures and Economic Efficiency

Interactive video
•
10th - 12th Grade
Popular Resources on Wayground
25 questions
Equations of Circles

Quiz
•
10th - 11th Grade
30 questions
Week 5 Memory Builder 1 (Multiplication and Division Facts)

Quiz
•
9th Grade
33 questions
Unit 3 Summative - Summer School: Immune System

Quiz
•
10th Grade
10 questions
Writing and Identifying Ratios Practice

Quiz
•
5th - 6th Grade
36 questions
Prime and Composite Numbers

Quiz
•
5th Grade
14 questions
Exterior and Interior angles of Polygons

Quiz
•
8th Grade
37 questions
Camp Re-cap Week 1 (no regression)

Quiz
•
9th - 12th Grade
46 questions
Biology Semester 1 Review

Quiz
•
10th Grade