O-LevelEconomicsGovernment and the macroeconomy2281/11 · May/June 2012 · Q241 Mark
A government decides to sell to a private firm its monopoly supply of gas to households. How could the government protect the interests of households after selling a large company to the private sector?
Aby excluding all competition from foreign companies
Bby imposing a tax on excess profits
Cby introducing a quota system for imports of gas
Dby removing price controls on gas
✓ Correct answer
B: by imposing a tax on excess profits
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