Which of the following is not a barrier to entry into a monopoly market?
A) The exclusive right to produce a good.
B) The existence of substitute goods.
C) Legal action against new firms that enter the market.
D) A patent on important technology.

Question

Quizplus · Accepted Answer

The existence of substitute goods actually increases competition and makes it harder for a monopolist to maintain its position. The other options (A, C, and D) all act as barriers to entry that can prevent new firms from entering the market and competing with the monopolist.

Which of the Following Is Not a Barrier to Entry