Answer to Question #210952 in Microeconomics for Momin ali

Question

Give an example of Government created monopoly. Is creating this monopoly is good for public 

policy or bad? Discuss.

Answer 1

It's a monopoly created by the government. The United States Postal Service is another example of a government monopoly. It is not always in the public interest to create monopolies. When free-market competition is unsustainable or consumer prices must be regulated, government monopolies are advantageous.