A Market in Which the Costs of Entry and Exit

question 14

Multiple Choice

A market in which the costs of entry and exit are low is called a

• A) regulated market.
• B) monopoly market.
• C) market with high barriers to entry.
• D) contestable market.

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Definitions:

Producer Surplus

The difference between what producers are willing to sell a good for and the actual price they receive, reflecting the producer's benefit.

Crude Oil

A naturally occurring, unrefined petroleum product composed of hydrocarbon deposits and other organic materials used as a fuel and in the production of chemicals, plastics, and other materials.

Tariff

A tax imposed on imported goods and services to increase their price, protect domestic industries, or generate revenue.

Roses Imported

The total quantity or value of roses brought into a country from abroad for sale.