Which of the following cannot be an effective entry barrier?
A) a firm making very high economic profits
B) a firm being granted a patent for its product
C) a firm owning all of a vital resource needed to produce a good
D) when huge economies of scale exist
Question 2
In the above figure, what is the efficient quantity of hot dogs to produce?
A) 2 thousand per day
B) 4 thousand per day
C) 6 thousand per day
D) The efficient quantity cannot be determined without knowing the PPF for this economy.