Ownership of a necessary input creates what type of barrier to entry?

Compared to the no-trade situation, if the United States imports video games,

a. the price of video games will decline in the domestic market. b. domestic video game producers will be able to charge higher prices. c. domestic video game producers will expand both output and employment. d. U.S. consumers will be harmed.

Economists are skeptical about the degree to which predatory pricing is used because

a. "price wars" are rarely observed in actual markets. b. when used as a warning to potential rivals, predation has minimal value. c. buy-outs are less costly than predation and have no offsetting disadvantages. d. firms can easily counter predation by "laying low" or borrowing funds.