Two types of barriers to entry are called ________ barriers to entry and ________ barriers to entry.
A) legal; illegal
B) natural; legal
C) natural; illegal
D) natural; rent seeking
E) ownership; rent seeking

Question

Quizplus · Accepted Answer

Natural barriers to entry occur when there are inherent cost advantages or technological requirements that limit the ability of new firms to compete. Legal barriers to entry are created by the government through regulations, patents, or licensing requirements to restrict competition.

Two Types of Barriers to Entry Are Called ________ Barriers