If the Government Breaks Up a Constant-Cost, Nondiscriminating Monopoly into a Perfectly

Multiple Choice

If the government breaks up a constant-cost, nondiscriminating monopoly into a perfectly competitive industry, what would we expect with regard to output and price?

A) Output and price will decrease.
B) Output will increase and price will decrease.
C) Output and price will increase.
D) Output will decrease and price will increase.
E) No change.