If There Are Barriers to Entry into a Market,it Is

question 19

Multiple Choice

If there are barriers to entry into a market,it is possible for the existing firm(s) to earn positive economic profits.All of the following explain this except:

• A)new firms cannot enter to take advantage of the profits.
• B)resource immobility.
• C)it is possible for a firm in this situation to charge any price it wants and thus preclude anyone else from entering.
• D)competition does not erode profits the way it would under perfect competition.

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Definitions:

Interposition

A visual cue that occurs when one object partially covers or overlaps another object, creating a perception of depth.

Observer Movement

In experimental research, this term describes the actions or movements made by an observer, which can potentially influence the subject's behavior.

Opposite Direction

A course or path that differs by 180 degrees from the original or compared direction, often used in physics, navigation, and general descriptions of movement or orientation.

Same Direction

A situation or condition in which multiple objects, forces, or trends are moving or oriented towards the same point or path.