问题
单项选择题
The most likely objective of government regulation of a natural monopoly is to:（）
A. expand output so consumer demand is fully met.
B. provide incentives for potential competitors to enter the market.
C. reduce the product price to the supplier’s average total cost per unit of output.
答案
参考答案：C
解析：
Ideally, price regulation of a natural monopoly would improve resource allocation if price was set equal to the firm’s average total cost per unit of output. The resulting output level would produce zero economic profits for the firm. If price was set equal to marginal cost, however, economic losses would occur and the monopolist would not undertake production.