Which of the Following Creates a Barrier to Subsequent Entries

question 56

Multiple Choice

Which of the following creates a barrier to subsequent entries in an industry dominated by first movers?

• A)The laissez-faire stance toward trade adopted by first movers
• B)Implementation of policies to maximize imports and minimize exports
• C)Specializing in the production of goods for which firms have an comparative advantage
• D)The ability of first movers to benefit from increasing returns
• E)Decrease in the variety of goods available to consumers and increase in the cost of existing goods