How did improved farming lead to the development of goverment

Since farming allowed people to stay in one area instead of travelling where they could find food, they were able to start building more permanent houses. Then, as families grew to accommodate the extra hands they needed, people were able to make and do other things as hobbies or other work. The importance of the things they did, such as working the fields, raising children, merchants, etc. created a hierarchy within the villages and towns. There were always at least one leader in nomadic groups, but as more people were in a group, chaos emerged between the people. One leader wasn't enough. That was how more governing bodies began to make decisions together. 

high entry costs prevent new producers from entering the market.

explanation:

an oligopoly is a term used to clarify the structure of a particular market, industry, or organization. a market is considered oligopolistic or amazingly focused when it is shared between a few companies.