Which of the Following Is a Characteristic of Perfect Competition

question 244

Multiple Choice

Which of the following is a characteristic of perfect competition?

• A)Individual firms have the power to set prices.
• B)Firms produce differentiated products.
• C)New firms can easily enter the market.
• D)There are only a few very large firms producing all output in the market.

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Definitions:

Treated

Subjected to a process or treatment, in the context of material, data, or medical treatment, with the aim of changing its properties or outcomes.

Price Discrimination

A pricing strategy where a seller charges different prices for the same product or service to different customers, based on the willingness to pay.

Antitrust Laws

Regulations established to prevent monopolies and promote competition among businesses.

Treatment

Medical or psychological care given to patients for illnesses or conditions.