An industry with easy entry and exit of a large number of small firms producing a standardized product is:
A)in perfect competition.
B)in monopolistic competition.
C)an oligopoly.
D)a monopoly.

Question

Quizplus · Accepted Answer

In perfect competition, there are a large number of small firms producing a standardized product, and there is easy entry and exit from the industry. Firms in perfect competition have no market power, meaning they cannot influence the price of the product.

An Industry with Easy Entry and Exit of a Large