An individual wheat farmer has no market power because:

Question

Quizplus · Accepted Answer

An individual wheat farmer has no market power because they must accept the equilibrium market price. This means that they are a price-taker and have no ability to alter the market price. They also typically produce only a small amount of wheat compared to the entire market, so they do not have a significant impact on the market price. While they may be able to differentiate their wheat based on quality or other factors, this does not give them market power.

An Individual Wheat Farmer Has No Market Power Because