Which of the following is a barrier to entry in a monopoly market?
A)Economic profits greater than zero for the monopolist.
B)A rising long-run average total cost curve.
C)A patent on a new product.

Question

Quizplus · Accepted Answer

A patent on a new product is a legal monopoly that gives the inventor exclusive rights to sell the product for a certain period. This barrier to entry prevents other firms from entering the market and competing with the inventor. Economic profits greater than zero and a rising long-run average total cost curve are not necessarily barriers to entry in a monopoly market.

Which of the Following Is a Barrier to Entry in a Monopoly