Figure: 13-3
-Using Figure 13-3,how much price competition is most likely available for bushels of wheat?
A)There is a range of prices at which to sell.
B)The market sets the price so there is no price competition.
C)There is a price leader in the farming industry that sets the price.
D)Since there is only one seller, that firm sets the price.

Question

Figure: 13-3 
-Using Figure 13-3,how much price competition is most likely available for bushels of wheat?
A)There is a range of prices at which to sell. 
B)The market sets the price so there is no price competition. 
C)There is a price leader in the farming industry that sets the price. 
D)Since there is only one seller, that firm sets the price.

Quizplus · Accepted Answer

In a perfectly competitive market like that for bushels of wheat, the market sets the price, and individual sellers have no control over it, leading to no price competition.

Figure: 13-3 -Using Figure 13-3,how Much Price Competition Is Most Likely Available