Question: In a magazine article, a writer explained that the provision of electric power in the United States consists of two processes: the generation of electricity
In a magazine article, a writer explained that the provision of electric power in the United States consists of two processes: the generation of electricity and the distribution of electricity. The writer argued that "power distribution is a natural monopoly... . But ... there's ... no reason why the people who generate the electricity ... should be the same people who own the power lines."
a. Why would the distribution of electric power be a natural monopoly?
b. Why would the generation of electric power not be a natural monopoly?
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