Question

chapter 04 quiz: the market forces of supply and demand
assignment: chapter 04 quiz: the market forces of supply and demand
questions ma01pe10h_ch04.01m
1.
2.
3.
4.
5.
6.
7.
8.
9.
a perfectly competitive market has ________.
a. only one seller
b. at least a few sellers
c. many buyers and sellers
d. firms that set their own prices
e. none of the answer choices

Explanation:

A perfectly competitive market is defined by having a large number of buyers and sellers, where no single participant can influence the market price. Option a describes a monopoly, option b describes an oligopolistic or monopolistically competitive market, and option d describes firms with market power (not present in perfect competition).

Answer:

c. many buyers and sellers