In economics,perfect competition refers to a market structure where

Question

Quizplus · Accepted Answer

In a perfectly competitive market, each firm is a price taker, meaning they cannot influence the market price of the product they are selling. As a result, each firm has zero market power and must accept the market price as given. This leads to a situation where all firms in the market are producing at the efficient level of output and earning zero economic profits in the long run. Therefore, D is the correct choice.

In Economics,perfect Competition Refers to a Market Structure Where