Which of the following is an example of a barrier to entry?
A)A firm is open for business only at certain hours of the day, and has its doors locked at other times.
B)The government grants licenses to taxicab drivers, without which it is illegal to operate a taxicab.
C)A newspaper sells advertising space to businesses.
D)Lack of a Web site.

Question

Quizplus · Accepted Answer

Government licenses are a barrier to entry because they restrict the ability of new competitors to enter the market without obtaining the necessary permits.

Which of the Following Is an Example of a Barrier