All of the following government policies would create a barrier to entry in a market EXCEPT:
A)a requirement that only companies with a license to produce the specific product can sell it.
B)a requirement that all versions of the product for sale are subject to extensive safety testing.
C)a requirement that there can be no switching costs for consumers.
D)the granting of a patent to the developer of the product.

Question

Quizplus · Accepted Answer

The other options create barriers to entry by restricting who can enter the market or imposing costly requirements, whereas the absence of switching costs would actually make it easier for new companies to enter the market.

All of the Following Government Policies Would Create a Barrier