The assumption of free entry and exit is necessary for firms in a competitive market to be price takers.
Correct Answer:
Verified
Q2: When an individual firm in a competitive
Q12: A profit-maximizing firm in a competitive market
Q20: In competitive markets, firms that raise their
Q125: If occupational safety laws were changed so
Q130: The textile industry is composed of a
Q169: In the long run the market supply
A)must
Q225: For a firm in a competitive market,marginal
Q233: When market conditions in a competitive industry
Q234: In the short-run,a firm's supply curve is
Q361: The production decisions of perfectly competitive firms
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents