Characteristic of perfectly competitive market

Assignment Help Business Economics

Reference no: EM131244472

1. Which of the following is NOT a characteristic of a perfectly competitive market?

a. It is difficult for a firm to enter or leave the market.

b. Each firm is a price taker.

c. There are many buyers and sellers in the market.

d. The products sold by the firms in the market are homogeneous.

2. A market failure is a situation in which:

a. the market equilibrium leads to either too many or too few resources going towards producing the good or service.

b. resources are being efficiently allocated, but some companies are forced to shut down.

c. the government must take actions to correct the failures of the market in a particular industry.

d. there is no free entry or exit into an industry.

Reference no: EM131244472

Questions Cloud

Describe the four stages in process of social penetration : Please type the answer, no photos of answer or hand written answers. Identify and describe the four stages in the process of social penetration. Provide an example of a relationship (real or fictional) that evolved through the social penetration proc..

Advanced analysis-utility will the marginal dollar yield : ADVANCED ANALYSIS Given the following: zA = 30 - 4x zB = 20 - 5y, where z is marginal utility per dollar spent, x is the amount spent on product A, and y is the amount spent on product B. Assume that the consumer has $7 to spend on A and B—that is: x..

The market demand curve in perfect competition is found by : All of the following are true regarding perfectly competitive price determination EXCEPT. The market demand curve in perfect competition is found by

The market demand curve in perfect competition is found : The market demand curve in perfect competition is found by. When there are large numbers of buyers and sellers,

Characteristic of perfectly competitive market : Which of the following is NOT a characteristic of a perfectly competitive market? A market failure is a situation in which:

Perfectly competitive industry market price is found by : Suppose the price of an item in a perfectly competitive market is $3. For a firm in this market, MC = MR at an output of 100 units. The average total cost at this output level is $4 per unit, and TVC is $80. We may conclude that A perfectly competiti..

At time when demand for ready-to-eat cereal was stagnant : At a time when demand for ready-to-eat cereal was stagnant, a spokesperson for the cereal maker Kellogg’s was quoted as saying, “ . . . for the past several years, our individual company growth has come out of the other fellow’s hide.” Kellogg’s has ..

The marginal revenue curve of a perfectly competitive firm : The marginal revenue curve of a perfectly competitive firm

Learning activity-some of the ethical issues : When in Malaysia W.B. Milestone, Inc., a manufacturer of sophisticated computer parts, recently moved the operations of one of its divisions to Malaysia. The Company has hired several hundred workers at wages considerably below their U.S. counterpart..

User Account

All Pages