Determine whether each statement about public policy related to monopolies is true or false.
(a) the government uses antitrust laws to encourage monopoly creation and reduce competition.
(b) during the regulation of natural monopolies, the government will always set the price of the good produced by the monopolist at the monopolist's marginal cost.
(c) if the market failure caused by a particular monopoly is small relative to the imperfection of government policies, the government may opt to not do anything about that particular monopoly.
(d) a private firm may be faster than a public firm in resolving a situation in which bad management is increasing production costs.
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Determine whether each statement about public policy related to monopolies is true or false.
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