An assumption of the model of perfect competition is:
A)discrimination.
B)difficult entry and exit.
C)many buyers and sellers.
D)limited information.

Question

Quizplus · Accepted Answer

Perfect competition assumes the existence of many buyers and sellers in a market, with no individual entity possessing enough market power to influence the market price. Discrimination, difficult entry and exit, and limited information are not assumptions of perfect competition.

An Assumption of the Model of Perfect Competition Is