When buyers in a competitive market take the selling price as given, they are said to be:

Question

Quizplus · Accepted Answer

When buyers in a competitive market take the selling price as given, they have no ability to influence the price and must accept it, thus they are called “price takers”. Option A (free-riders) refers to individuals who enjoy benefits without paying for them, and does not apply here. Option B (market entrants) refers to companies entering a market, and their behavior is not necessarily tied to the price. Option D (monopolists) refers to companies that have a dominant position in a market and have the ability to set prices, which is the exact opposite of the situation described in the question.

When Buyers in a Competitive Market Take the Selling Price