Which of the Following Characteristics of a Competitive Market Make

question 112

Multiple Choice

Which of the following characteristics of a competitive market make auction sites such as eBay so popular?

• A) There is freedom of entry and exit.
• B) There are very low transaction costs.
• C) There are only one or two sellers.
• D) Buyers and sellers have complete information.

---

Definitions:

Established

To have been in existence for a long time and therefore recognized and accepted.

Organization

The act of arranging or structuring elements in a systematic way to achieve certain goals or objectives.

Humanistic

A psychological perspective that emphasizes the study of the whole person, looking at human behavior not only through the eyes of the observer but also through the eyes of the person doing the behaving.

Motivation

The internal drive or process that stimulates, directs, and maintains behaviors towards achieving personal or organizational goals.