Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 19 - Antitrust Policy and Regulation - Discussion Questions: 9

Answer

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Work Step by Step

The government will often subsidize or regulate natural monopolies to keep the prices down. For instance, in the case of nuclear power, the government will sometimes subsidize some of the upfront cost, and the business is expected to offer fair prices.
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