A Natural Monopoly Exists Whenever a Single Firm

Multiple Choice

A natural monopoly exists whenever a single firm:

A) is owned and operated by the federal or local government.
B) is investor owned but has been granted the exclusive right by the government to operate in a market.
C) has economies of scale over the entire range of production that is relevant to its market.
D) has gained control over a strategic input of an important production process.