A natural monopoly could possibly arise when: A) there are large economies of scale relative to the industry's demand. B) the government allows unrestricted access to a market. C) there are...

A natural monopoly could possibly arise when:

A) there are large economies of scale relative to the industry's demand.

B) the government allows unrestricted access to a market.

C) there are diseconomies of scale in an industry.

D) companies band together to form a larger company.

The demand curve facing a monopoly firm is:

A) horizontal at the market equilibrium price.

B) equivalent to the firm's marginal cost curve.

C) equivalent to the market demand curve.

D) upward sloping when the firm experiences economies of scale.