Think of the characteristics of perfect competition and use them to decide which of the following firms is most likely to belong in a perfectly competitive market.
A) pizza restaurant
B) cookie producer
C) bicycle store
D) generic canned peas producer
E) corn farm

Question

Quizplus · Accepted Answer

A corn farm is most likely to belong in a perfectly competitive market because it typically involves many small producers, homogeneous products, and easy entry and exit, which are key characteristics of perfect competition.

Think of the Characteristics of Perfect Competition and Use Them