Question

In the event that Only1Corp. obtains control of all the natural gas producers in the US, it would most likely Group of answer choices

Answer 1

Group of Answers:

a. raise prices, cut production, and realize positive economic profits

b. have a patent giving it exclusive legal rights to make, use, and sell for a limited time.

c. have legal protection to prevent copying its methods of production for commercial use

d. acquire rights for its investors to produce and sell their product

Answer:

Only1Corp

a. raise prices, cut production, and realize positive economic profits

Explanation:

Only1Corp has by the above move become a monopoly by acquiring all the natural gas producers in the US and now has near or total control of the natural gas production.  It will display the characteristics of a monopoly, especially that of a price maker.  Its position in the marketplace will become unchallenged if there are no importers of natural gas to compete with it in the marketplace.  However, it must be noted that monopolies are illegal in the US unless they are government-created monopolies.