An Industry Is Said to Be Perfectly Competitive When

question 28

Multiple Choice

An industry is said to be perfectly competitive when:

• A) demand in the industry is high.
• B) each firm has virtually no influence over the price of its product.
• C) there are many buyers and sellers, and each is large relative to the total market.
• D) supply in the industry is highly elastic.

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Definitions:

Verb

A word that describes an action, occurrence, or state of being.

Passive

A grammatical voice that emphasizes the action being performed upon the subject rather than by the subject.

Equivalent

Identical in worth, role, or significance.

Tom

A male name or, in specific contexts, the male of some animal species such as a tomcat.