A special license is required to operate a taxi in many cities.The number of licenses is restricted.More drivers want licenses than are issued.This describes a non-perfectly competitive market because

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The restriction on the number of licenses implies that not all sellers who wish to participate in the market are able to do so, which limits the ability of new firms to enter and exit the market freely. This restricts competition and leads to an inefficient allocation of resources, resulting in a non-perfectly competitive market. The other options are not relevant to the description of the market structure in this scenario.

A Special License Is Required to Operate a Taxi in Many