Final answer:
One of the characteristics of market structure is barriers to entry of new competitors. Barriers to entry are the legal, technological, or market forces that discourage or prevent potential competitors from entering a market.
Step-by-step explanation:
One of the characteristics of market structure is barriers to entry of new competitors. Barriers to entry are the legal, technological, or market forces that discourage or prevent potential competitors from entering a market.
These barriers can range from simple and easily surmountable factors like the cost of renting retail space to more restrictive factors like limited radio frequencies available for broadcasting.
Barriers to entry, a key characteristic of market structure, determine the ease with which new competitors can enter an industry. They encompass factors such as high startup costs, technological requirements, brand loyalty, and government regulations.
In perfect competition, a theoretical market structure, there are minimal barriers, fostering a multitude of small firms. Government intervention, the second option, may affect market dynamics but is not inherently a characteristic of market structure.
The type of government in an economy, the third option, is more related to the economic system than market structure. Therefore, option A, barriers to entry, accurately represents a characteristic of market structure.