In which market structure do firms exist in very large numbers,each firm produces an identical product,and there is freedom of entry and exit?
A) monopoly
B) oligopoly
C) only perfect competition
D) only monopolistic competition
E) both perfect competition and monopolistic competition

Question

Quizplus · Accepted Answer

The market structure described matches that of perfect competition, where there are a large number of firms producing a standardized product, low barriers to entry and exit, and no individual firm has the power to influence market price. Monopoly, oligopoly and monopolistic competition are not characterized by the same conditions.

In Which Market Structure Do Firms Exist in Very Large