A Market in Which Firms Can Enter and Leave So

question 35

Multiple Choice

A market in which firms can enter and leave so easily that firms in the market face competition from potential entrants is called a

• A)contestable market.
• B)cartel.
• C)limit pricing market.
• D)monopolistic competition market.
• E)natural oligopoly.

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Definitions:

Lichen

A symbiotic organism composed of a fungus and a photosynthetic partner, typically an alga or cyanobacterium, found on rocks, trees, and soil.

Mutualistic Relationship

A type of symbiotic relationship where both organisms involved benefit from their interaction.

Dinoflagellate

A type of planktonic microorganism, many species of which are photosynthetic, contributing to marine and freshwater ecosystems.

Atmospheric Layer

A stratum of gases surrounding a planet that is held in place by the gravity of that body, categorized into different layers based on temperature gradient and other properties.