A purely competitive seller is
A) both a "price maker" and a "price taker."
B) neither a "price maker" nor a "price taker."
C) a "price taker."
D) a "price maker."

Question

Quizplus · Accepted Answer

A purely competitive seller is a small part of the whole market and has no control over the price of the product they sell. They have to accept the market price and cannot influence it, making them a price taker. Thus, the correct option is C.

A Purely Competitive Seller Is