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7 March, 17:06

Why are utilities, such as electricity and water, examples of natural monopolies

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Answers (2)
  1. 7 March, 17:18
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    Natural monopoly exist when one firm can supply the entire market at a lower per unit cost than could two or more separate firms. This being the case, public utilities such as water, gas and electricity are examples of natural monopolies.
  2. 7 March, 17:38
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    Electricity and water are examples of natural monopolies because they are all started up in local companies such as the Florida power and light and the water and sewage department
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