What is the barrier to entry in a monopoly?
a. There is no barrier; anyone can enter the market.
b. It a minor barrier; some can enter the market.
c. It varies from industry to industry.
d. It is a complete barrier; no entry is allowed.
Answer: d. It is a complete barrier; no entry is allowed.
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A company could produce 100 units of a good for $320 or produce 101 units of the same good for $324. The $4 difference in costs is
A) the marginal benefit of producing the 101st unit. B) the marginal cost of producing the 101st unit. C) both the marginal benefit and the marginal cost of producing the 101st unit. D) neither the marginal benefit nor the marginal cost of producing the 101st unit.
Under the Sullivan Principles, a multinational producing in different countries
A) should pay the same wages in all countries. B) should comply with the same environmental standards that exist in the home country. C) should lobby for better standards in all countries. D) should produce in pollution havens.