When the barriers to entry which create this structure manifest as extremely high infrastructure cost, this structure is said to be "natural;" examples include water utilities and telecommunications.
In this market structure, the average revenue curve is equal to the demand curve, and thus the only way to increase revenue is to lower price. When the barriers to entry which create this structure manifest as extremely high infrastructure cost, this structure is said to be "natural;" examples include water utilities and telecommunications. For 10 points, identify this microeconomic market structure in which a good has only one seller.
In this market structure, the average revenue curve is equal to the demand curve, and thus the only way to increase revenue is to lower price.
monopoly