What is a natural monopoly?

Question

and why is it that, even though a natural monopolist might be earning high economic profits, other firms will still decline to enter the industry and compete against the incumbent?

Answer 1

It's a sole supplier that is concerned about being green.  Other firms don't care about the environment so they won't compete.  JK.  Do your own homework.

Answer 2

it is when 1 firm can produce something at a lower cost than 2+ firms. It might cost more to a nation or the economy if 2+ companies produce the same thing. Your local utility company is an example.

I think other firms will still decline to enter the industry because if they do enter, then the profits wont be there. It would end up costing them more to make it and they wouldnt get as much money in profit.