The Department of Defense buys aircraft from U.S. companies for national security reasons. This is an example of a ______ barrier to entry.

Question

The Department of Defense buys aircraft from U.S. companies for national security reasons.  This is an example of a ______ barrier to entry.

Quizplus · Accepted Answer

Government policy serves as a barrier to entry as it limits the competition for national security projects that can only be fulfilled by U.S. companies. In this case, the Department of Defense only purchases aircraft from U.S. companies for security reasons, which limits the ability of foreign companies to enter the market.

The Department of Defense Buys Aircraft from U