Shortly after the turn of the century, U.S. Steel owned most of the iron ore reserves in the country. This is an example of
A) monopoly due to government restrictions.
B) a barrier to entry from owning an important resource.
C) a barrier to entry from scale economies.
D) monopoly due to governmental entry restrictions.

Question

Quizplus · Accepted Answer

Owning most of the iron ore reserves in the country is a barrier to entry for competitors who may want to enter the steel industry as they would not have access to the same resource. This gives U.S. Steel a competitive advantage in the market.

Shortly After the Turn of the Century, U