An article in The Economist reported that prices of CDs in Britain were much higher than prices in the United States or other European countries.There were only a few major companies, and a report from a Parliament committee said there was no serious price competition.The best explanation for this is that

Question

Quizplus · Accepted Answer

The presence of only a few major companies suggests entry barriers in production and distribution of CDs, which limits competition and allows for higher prices.

An Article in the Economist Reported That Prices of CDs