An individual purely competitive seller has:
A) no control over the price of its product.
B) its control over its product's price decrease when new rivals enter its market.
C) more control over the price of its product than does a monopolistic competitor.
D) control over the price of its product only when there is a surplus of the product.

Question

Quizplus · Accepted Answer

In a purely competitive market, individual sellers cannot influence the price of their product because the market price is determined by the overall supply and demand. Each seller is a price taker, meaning they must accept the market price.

An Individual Purely Competitive Seller Has