The Conditions for a Perfectly Competitive Market Include Which One

question 88

Multiple Choice

The conditions for a perfectly competitive market include which one of the following?

• A) Firms can control prices.
• B) New entrants cannot threaten the position of existing firms.
• C) Firms must employ the newest technologies as soon as they are developed.
• D) Firms behave as price takers.
• E) Profits are zero in the short run.

---

Definitions:

Indorsement

The act of signing one's name on the back of a cheque or other negotiable instrument to make it payable to someone else.

Without Recourse

A term indicating that the holder of a financial instrument, such as a note or bill, cannot demand payment from the original issuer in case of default by the borrower.

Indorsement

The act of signing one's name on the back of a check or other negotiable instrument, legally transferring ownership or authorizing a transaction.

Liability

The legal responsibility or obligation to compensate someone else for harm or damage caused by one's actions or failure to act.