Which of the following is the best example of a perfectly competitive firm?
A) a corn farmer in Illinois
B) a Taco Bell restaurant
C) the Ford Motor Company
D) the United Parcel Service (UPS)

Question

Quizplus · Accepted Answer

A corn farmer in Illinois is the best example of a perfectly competitive firm because there are many other corn farmers in the market producing an identical product and there are no barriers to entry or exit. Taco Bell, Ford Motor Company and UPS are not perfect examples of perfectly competitive firms because they have some control over the price of their products and there are barriers to entry in their respective markets.

Which of the Following Is the Best Example of a Perfectly