Which is not a criticism of the Chamberlin model?
a. The concept of an industry group is hard to define.
b. It attempts to be more realistic than perfect competition, but it does not predict behavior in the marketplace with any more accuracy than perfect competition.
c. The model presumes that any firm can attract buyers from other firms so that the products of each firm in the industry are perfect substitutes.
d. It assumes that entry is easy but exit is difficult for the firms.
Answer: d. It assumes that entry is easy but exit is difficult for the firms.