Why do you supposed that it is easier for a government to protect and maintain a domestic monopoly for a particular industry but next to impossible to accomplish if this firm operates internationally?
What will be an ideal response?
Firms can be protected domestically by passing laws preventing entry into the industry. However, internationally this is next to impossible to do because of the harsh competition that the firm would likely face.
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To maximize profits, the monopolist should produce at which
A) MR = MC. B) MC intersects the demand curve. C) total revenue is maximized. D) total costs are minimized.
The federal government's revenue has declined steadily relative to GDP since 1960
a. True b. False
In regulated industries, the optimal regulation is to set price such that MC=P
a. True b. False Indicate whether the statement is true or false
A tax levied on the sellers of a good shifts the
a. supply curve upward (or to the left). b. supply curve downward (or to the right). c. demand curve upward (or to the right). d. demand curve downward (or to the left).