Which of the following constitutes a barrier limiting the entry of potential competitors into a market?
a. diseconomies of scale
b. an elastic market demand for the product produced by the industry
c. control over an essential resource
d. a perfectly elastic demand curve
C
You might also like to view...
If the monopoly illustrated in the figure above could engage in perfect price discrimination, then when it maximizes its profit the total revenue collected by the firm would be
A) $110. B) $120. C) $210. D) $310.
In the capital market, the purchase price is what a:
A. producer pays to gain permanent ownership of a factor of production. B. consumer pays to use labor or land services for a certain period or task. C. consumer pays to gain permanent ownership of a factor of production. D. producer pays to use a factor of production for a certain period or task.
Using Figure 1.6, if an economy has the capacity to produce represented by PP1, then point E represents
A. A change in technology. B. An efficient use of resources. C. A combination of cars and SUVs that is not attainable. D. A constant trade-off between cars and SUVs.
Refer to the data. If the market price for the firm's product is $32, the competitive firm will produce:
A. 8 units at an economic profit of $16.
B. 6 units at an economic profit of $7.98.
C. 10 units at an economic profit of $4.
D. 7 units at an economic profit of $41.50.