Economics B A-Level

Natural monopolies

What Natural monopolies means in Economics B A-Level, as defined for Pearson Edexcel.

Definition of Natural monopolies

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Read the wording for your board, then hide it and explain Natural monopolies in your own words. Rough notes are fine. This is a self-check, with no mark or grade.

Reference: Pearson Edexcel

Exist when high fixed costs mean only one firm can fully exploit economies of scale, like a national water grid.

Pearson Edexcel · Market failure (study guide)

Topics that use Natural monopolies

Market failure (Pearson Edexcel A-Level)

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Using Natural monopolies in the exam

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