Asked by Taylor Fujimoto on May 07, 2024
Verified
Easy entry of new firms is not a characteristic for ________ industries.
A) perfectly competitive and monopolistically competitive
B) monopolistically competitive and oligopolistic
C) oligopolistic and monopolistic
D) monopolistic and perfectly competitive
Oligopolistic
Describing a market structure dominated by a few large producers or sellers who have significant control over prices and market share, often resulting in limited competition.
Monopolistic
Relates to a market structure where a single firm dominates the market, often leading to limited competition.
- Comprehend the consequences of low barriers to entry and exit in markets characterized by monopolistic competition for the strategic approaches of firms and their influence over the market.
Verified Answer
JM
James MartinMay 11, 2024
Final Answer :
C
Explanation :
Easy entry of new firms is a characteristic of perfectly competitive and monopolistically competitive industries, not oligopolistic and monopolistic industries, where barriers to entry are significant.
Learning Objectives
- Comprehend the consequences of low barriers to entry and exit in markets characterized by monopolistic competition for the strategic approaches of firms and their influence over the market.