In 2015, poultry farmers were able to sell cage-free eggs for a price that more than offset the higher costs of raising cage-free chickens. By 2019, most of that higher return had been wiped out as more farmers began raising cage-free eggs, resulting in a decline in the price of those eggs. This example indicates that in a competitive market,

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The example shows that as more farmers began raising cage-free eggs, the price of those eggs declined, indicating that new firms could enter the market relatively easily, thus increasing supply and reducing prices. This suggests a high ease of market entry.

In 2015, Poultry Farmers Were Able to Sell Cage-Free Eggs