126k views
0 votes
What MIGHT be the purpose of government regulation of natural monopolies, or economies of scale?

2 Answers

2 votes
Gov't regulations might be used to facilitate competition
User Maralyn
by
8.4k points
5 votes

An anti-trust agency is a government entity that is in charge of guaranteeing that mergers and acquisitions of companies do not go against the principles of the free market. In other words, whenever a corporation is too big and starts acquiring its competitors, anti-trust agencies may intervene in order to halt the operation or apply some restrictions.

User Justin Wiseman
by
8.9k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.