__________ exists when there are many sellers in a market and no seller is large enough to dictate the price of a product.

Question

Quizplus · Accepted Answer

Perfect competition is defined as a market structure where there are many buyers and sellers, and no single seller is large enough to influence the price. This means that each seller is a price taker, rather than a price maker, and must accept the market price for their product. In this type of market, there is complete freedom of entry and exit, and products are perfectly substitutable. Therefore, choice A is the correct option.

__________ Exists When There Are Many Sellers in a Market