Which of the following statements are true about this natural monopoly? check all that apply.

Natural monopoly: The profit maximization in a natural monopoly occurs at the point where the marginal revenue (MR) equals to marginal cost (MC). At this level of quantity, the profit maximizing price occurs on the demand curve. Therefore, the corresponding price is 65 and quantity is 7 price leve ence, the cable company making a profit. Thus, the firm is not experiencing a diseconomies of scale. So, the given statement is false. Owning a scarce resource is not a must condition for a cable company under the natural monopoly. So, the given statement is false When the cable company is experiencing economies of scale, the average total cost declines. That is, economies of scale. Thus, the given statement is true Under natural monopoly, cable company enjoying a lower average total cost and thereby making a super profit that means the cable company has a cost advantage. Therefore, "it would be more efficient on the cost side for one producer to exist in this market rather than large producers". Thus, the given statement is true Thus, following statement is said to be true:

."The cable company is experiencing economies of scale" and e cable company is experiencing economies of scale an . "It would be more efficient on the cost side for one producer to exist in this market rather than large producers" If the government did not intervene in the market with rules and regulations, then a firm under natural monopoly will earn a positive profit in the long run also because of the barriers of entry and exit. Thus, the given statement is True