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11Alexandr11 [23.1K]
3 years ago
8

If a regulator sets price where P = AC for a natural monopoly, output will be A. less than the competitive level and greater tha

n the profit maximizing level. B. equal to the competitive level. C. greater than the competitive level. D. equal to the profit maximizing level.
Business
1 answer:
Svet_ta [14]3 years ago
5 0

Answer:

I think It is D

Explanation:

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A negative externality occurs when Question 16 options: the private marginal costs are equal to the social marginal costs. the p
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<h3><u>What is a negative externality?</u></h3>

When the manufacturing process has a negative impact on unconnected third parties, this is referred to as a negative production externality. For instance, manufacturing facilities contribute to noise and air pollution throughout the production process.

<h3><u>What happens when a negative externality exists?</u></h3>

The marginal social cost and the marginal private cost are no longer equal when a market has negative production externalities. As a result, the supply curve (which indicates the marginal private cost) does not accurately reflect the marginal societal cost and the social cost is instead larger due to the externality's per-unit cost.

You can learn more about negative externality using the following link:

brainly.com/question/13901028

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