I thought that whenever an industry was making higher profits, other entrepreneurial companies would enter that industry. In the wake of Exxon's record profits, why are there no new companies entering this industry and competing? Wouldn't competition help? What can or should the government do to help increase competition?

I thought that whenever an industry was making higher profits, other entrepreneurial companies would enter that industry. In the wake of Exxon's record profits, why are there no new companies entering this industry and competing? Wouldn't competition help? What can or should the government do to help increase competition?
Asked by: David DeFazio from Midlothian, VA

Asked of All U.S. Congress on Sep 10th, 2008

Categories: Economy · Energy. Tags: economics · exxon · oil.

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