If a Monopoly Firm Suddenly Lost Its Barriers to Entry

question 82

Multiple Choice

If a monopoly firm suddenly lost its barriers to entry and faced new competition,yet consumers thought that the former monopoly's products were somewhat different than its new competitors,then

• A) the industry has probably become perfectly competitive.
• B) long-run profit for this firm will likely exist.
• C) the industry has probably become a monopolistically competitive industry.
• D) the industry is probably cooperating to maximize joint profits.
• E) the industry has probably become a monopoly.

---

Definitions:

OOS Flags

OOS Flags, referring to "Out Of Service" flags, are indicators used in various fields, especially in transportation and equipment maintenance, to signal that a vehicle, machine, or system is not operational and should not be used until it is repaired or deemed safe.

Trailers Chassis Systems

The structural framework of trailers, including the axles, wheels, and suspension systems, that supports the load and provides stability.

Tread Depth

The measurement from the top of a tire's tread to the deepest groove, indicating how much tread remains on a tire.