IGCSE/GCSE/O & A Level/IB/University Student Forum

Qualification => Subject Doubts => GCE AS & A2 Level => Commerce => Topic started by: Monopoly on November 23, 2010, 06:03:48 pm

Title: Economics: Barriers to exit
Post by: Monopoly on November 23, 2010, 06:03:48 pm

# Markets with high exit barriers are unstable and not self-regulated, so the profit margins fluctuate very much over time.
# Markets with a low exit barrier are stable and self-regulated, so the profit margins do not fluctuate much over time.

Can anyone please explain these two points.

Title: Re: Economics: Barriers to exit
Post by: Monopoly on November 25, 2010, 05:42:06 pm

Any1?   :(