Which of the Following Is NOT a Characteristic of Perfect

question 161

Multiple Choice

Which of the following is NOT a characteristic of perfect competition?

• A) There are large numbers of buyers and sellers.
• B) The firms in an industry produce goods that are different from each other.
• C) Any firm can easily enter or leave the industry.
• D) Both buyers and sellers have equally good information.

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Definitions:

Marginal Cost

Refers to the expense associated with manufacturing one extra unit of a particular item.

Perfectly Competitive Eatery

A theoretical model where a restaurant operates in a market with many buyers and sellers, none of which can influence prices.

Breakfast Special

A promotional deal or menu option offered by restaurants specifically for breakfast meals, often at a reduced price.

Costs

The expenses or value sacrificed in the production or procurement of goods and services.