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Predatory pricing
________ occurs when a firm sells a product at a price below its production cost to drive a rival out of business and then increases the price.
Natural monopolies
________ occur when the economies of scale for producing a product are so large that only a single firm can survive.
natural monopoly
When a(n) ________ is inevitable, the government often sets a maximum price that the monopolist can charge consumers.
merger
A(n) ________ is a process in which two or more firms combine their operations.
demand curve
If a single firm- a monopolist- provides water, the firm- specific ________ is the same as the market demand: The market ________ shows, for each price, the number of units sold by the monopolist.
small group of trustees
A trust is an arrangement under which the owners of several companies transfer their decision- making powers to a(n) ________.
demand curve
The ________ of the typical firm in a two- firm market lies entirely below the long- run average- cost curve, so there is no quantity at which the price exceeds the average cost of production.
business practices
The third form of an antitrust policy in regulating __________________.
tie-in sale
A _______________ occurs when a business under which a business requires a consumer of one product to purchase another product.
Note
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