One assumption of the supply and demand model is that:

Question

Quizplus · Accepted Answer

One of the fundamental assumptions of the supply and demand model is that there is a single price in the market at which goods are sold, which is determined by the intersection of the supply and demand curves. This assumes perfect competition where no single buyer or seller has the power to influence the market price, leading to a situation where all units of a homogeneous good are sold at the same price.

One Assumption of the Supply and Demand Model Is That