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When interest rates are high due to a reduction in saving, business firms are likely to:
Barriers to Entry
Restrictions or obstacles that prevent new competitors from easily entering an industry or area of business.
Unlimited Market Power
A hypothetical situation where a company or entity can set the market price for its product without any competitive constraint.
Monopolists
Entities that hold exclusive control over the production and sale of a particular good or service, eliminating competition in the marketplace.
Barriers to Entry
Barriers consisting of financial, bureaucratic, or legal hindrances that restrict the entry of new players into a market or business sector.
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