3 . Natural monopoly analysis The following graph shows the demand (D) for cable services in the imaginary town of Utilityburg. The graph also shows the marginal reve (MR) curve, the marginal cost (MC) curve, and the average total cost (ATC) curve for the local cable company, a natural monopolist. On the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. 100 Monopoly Outcome 80 PRICE (Dollars per subscription) 20 ATC MC MR D 2 6 8 10 2 14 16 18 20 QUANTITY (Number of subscriptions) Which of the following statements are true about this natural monopoly? Check all that apply. The cable company is experiencing diseconomies of scale. It is more efficient on the cost side for one producer to exist in this market rather than a large number of producers. The cable company must own a scarce resource. The cable company is experiencing economies of scale. True or False: Without government regulation, natural monopolies never earn zero profit in the long run. O True O False