there is an example of a natural monopoly
Posted on: August 7, 2020 at 11:19:48 CT
ashtray UF
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if there are high infrastructure costs and a small market, a natural monopoly can occur. An example would be a utility company in a region that has a small population. It would be a negative ROI for a competitor to build their own infrastructure, so there is no competition willing to enter the market. While this is a rare instance, it is possible. But the overwhelming majority of monopolies are created by government.