Barriers to entry reduce the likelihood that price-setter firms will see their positive economic profits competed away over time.

Name: Barriers to entry reduce the likelihood that price-setter firms will see their positive economic profits competed away over time.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Barriers to entry make it more difficult for new firms to enter a market, which reduces competition and allows price-setter firms to maintain their market power and positive economic profits over time.

Barriers to Entry Reduce the Likelihood That Price-Setter Firms Will