If a government policy change harms a monopolist, the government could
If a government policy change harms a monopolist, the government could
A) tax those who get additional gains and compensate the monopolist, thereby making the change a Pareto improvement.
B) increase the general tax rate and compensate the monopolist, thereby making the change a Pareto improvement.
C) do nothing, because the change is a Pareto improvement.
D) It is not possible to mitigate the harm to a monopolist.
ANSWER
A
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