In a Competitive Equilibrium, We Assume That Markets Are Such

question 1

Multiple Choice

In a competitive equilibrium, we assume that markets are such that

• A) consumers are price takers while firms set prices.
• B) firms are price takers while consumers set prices.
• C) both consumers and firms are price takers.
• D) firms behave strategically in setting their prices.
• E) consumers behave strategically in setting their prices.

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