ACME, Inc. operates in a market structure in which there are many other firms that find it easy to enter or exit. ACME is operating in ________ market.

Question

Quizplus · Accepted Answer

The description suggests that ACME is operating in a market that allows for easy entry and exit of firms, which is a characteristic of both perfectly competitive and monopolistically competitive markets. Therefore, ACME could be operating in either of these market structures.

ACME, Inc Operates in a Market Structure in Which There Are