Final answer:
Governments restrict competition through legal monopolies and legal prohibitions against competition, such as regulated monopolies and intellectual property protection.
Step-by-step explanation:
Governments also restrict competition through legal monopolies and legal prohibitions against competition, such as regulated monopolies and intellectual property protection.
Legal monopolies occur when the government grants exclusive rights to certain companies to provide a service or produce a good. This restricts competition because other companies are not allowed to enter the market.
Legal prohibitions against competition can take the form of regulations that limit entry into certain industries or laws that protect the intellectual property rights of businesses. These restrictions prevent new companies from competing with established ones, maintaining a level of control for the government in key industries.