In general, which of the following statements guides policymakers with respect to a natural monopoly? The monopoly firm
◦ will not achieve productive efficiency without regulation.
◦ should be taken over by government and run as a crown corporation.
◦ should be broken up into a large number of competitive firms.
◦ is in the best position to produce a given product and should be left alone.
◦ generally needs to be regulated in order to reduce allocative inefficiency.