One of the forces that drive competition is the threat of new entrants in a market, based on how difficult it is for outsiders to enter that market. All of the following are barriers to entry in the insurance market, EXCEPT: 1) Economies of scale 2) Customized products 3) Advent of new distribution channels 4) State statute and regulatory policy Question 35 (2 points) The insurance industry has a high level of competition among existing firms for all of the following reasons, EXCEPT: 1) Many companies 2) Little product differentiation 3) High exit costs 4) Economies of scale