The Perfect Competitor's Horizontal Demand Curve Illustrates

question 125

Multiple Choice

The perfect competitor's horizontal demand curve illustrates

• A)perfect mobility of resources.
• B)the lack of any influence over price.
• C)that the firm is a price maker.
• D)that economic profits are impossible in the long run.

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Definitions:

Homogeneous

Composed of parts or elements that are all of the same kind; not heterogeneous or mixed.

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