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sergey [27]
3 years ago
8

Define and give examples of natural monopolies explain why they are allowed to exist in our free market system

Social Studies
1 answer:
nata0808 [166]3 years ago
4 0

Natural monopolies and the reason to exist in the free market system

Explanation:

In a natural monopoly when a market can supply goods or the cost of the goods can be lowered in competition with the potential competitor then it is called as natural monopoly. In a market when the first supplier of the product is demanding more cost or raises the costs of the product then it eventually rises to natural monopoly.

Here the products are given at a lower rate than the capital supplier. They are available in free market because people always tend to go for lower prices and for a good quality product.

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