When Entry and Exit Barriers Are High,________

question 44

Multiple Choice

When entry and exit barriers are high,________.

• A) profit potential is high, but firms face more risk because poorer-performing firms stay in and fight it out
• B) firms easily enter and leave the industry, and returns are stable and low
• C) few new firms can enter the industry, and poorly performing firms can easily exit
• D) firms enter during good times but find it hard to leave during bad times, resulting in chronic overcapacity and depressed earnings for all
• E) none of the above

Differentiate between various types of rock formations and their significance in oil and gas exploration.

Identify common methods and technologies used in the exploration and extraction of fossil fuels.

Understand the geological features related to the major oil-producing regions.

Acknowledge the usage of minerals and fossil fuels by weight and their importance to industry.