alleryStart learning →Barriers to entry may be legal, technological or:
AWholly seasonal
BMarket forces
CPurely random
DEntirely social
Answer & Solution
Correct answer: B. Market forces
1. The definition names three distinct kinds of obstacle.
2. Barriers to entry are the legal, technological, or market forces that discourage or prevent potential competitors from entering a market.
3. A legal barrier might be a patent and a technological one a costly process.
4. A market force might be the sheer scale a newcomer would have to reach.
_Source: OpenStax Principles of Microeconomics for AP(R) Courses 2e (CC BY 4.0), Ch 9 'Monopoly', sections 9.1-9.2_
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