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All of the Following Except One Are Reasons Why Unregulated

Question 10

Multiple Choice

All of the following except one are reasons why unregulated monopolies may be undesirable? Which is the exception?


A) Monopolies are guaranteed to make economic profits in the long run.
B) Monopolies are productively inefficient.
C) Monopolies are allocatively inefficient.
D) The existence of monopolies may lead to a more unequal distribution of income and wealth.
E) Monopolists produce below capacity output.

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