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Firms with market power are able to earn a profit because of barriers to entry, obstacles that prevent other firms from entering an industry and
Firms with market power are able to earn a profit because of barriers to entry, obstacles that prevent other firms from entering an industry and competing for market share. For each case, indicate which barrier to entry applies. a. Amazon consistently pricing laptops less than the going market price: Supply-side Deterrence Government policy Demand-side b. China's control of the nyarket for rare earths (a group of minerals used to produce electronics): Deterrence Government policy Demand-side Supply-side c. Pfizer's control of the production of Viagra from 1996-2020: Supply-side Government policy Demand-side Deterrence d. Ikea selling kitchen cabinets at a lower average cost than other producers: Government policy Supply-side Deterrence Demand-side e. Facebook's position in social media: Deterrence Supply-side Demand-side Government policy
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