Which of the following is not considered a barrier to entry?
A)economies of scale
B)patents
C)control of a scarce resource
D)licensing
E)perfect price discrimination

Question

Quizplus · Accepted Answer

Perfect price discrimination is not considered a barrier to entry because it does not directly prevent new firms from entering the market. Instead, it allows the monopolist to extract all consumer surplus, which may discourage demand, but does not restrict new entrants from entering the market. The other options listed (economies of scale, patents, control of a scarce resource, and licensing) are all barriers to entry that can make it difficult for new firms to enter a market and compete with existing firms.

Which of the Following Is Not Considered a Barrier to Entry