asked 191k views
5 votes
?the government of a state wants gigantic software corp., a natural monopoly, to stay in business yet still produce where price equals marginal cost. in order to encourage gigantic software corp. to stay in business, the government might choose to:

1 Answer

1 vote
in order to encourage gigantic software corp. to stay in business, the government might choose to: provide a subsidy to the company to cover the loss and ensure a normal profit

The government could conduct this action by either allowing the company not to pay a specific amount of tax or simply by eliminating all the possible competitions of that company.
answered
User Pavlos
by
7.5k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.