In a Perfectly Competitive Market Structure Both Buyers and Sellers

question 370

Multiple Choice

In a perfectly competitive market structure both buyers and sellers have equal access to information. This implies

• A) the products sold will be alike.
• B) firms will move labor and capital in pursuit of profit-making opportunities to whatever business venture gives them the highest return on their investment.
• C) no one buyer or seller has any influence on price.
• D) consumers are able to find out about lower prices charged by other firms.

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Definitions:

United States

A country located in North America, consisting of 50 states and a federal district, known for its strong economy and diverse population.

Price

The expense amount anticipated, necessary, or surrendered in payment for something.

Import

The process of bringing goods or services into one country from another to be sold or used.

CD-Rom Drives

Hardware devices used for reading data stored on CD-ROMs, which were once a common method for distributing software, multimedia applications, and large data files.