Markets and competition Identical products, as well as a large number of buyers and sellers, are characteristics of aperfectly competitive market. In such markets, sellers of goods cannot influence the prevailing market price, giving them the role of price takers in the market.

A. True

B. False

Question

Daniela Adkins

Business

11 April, 17:59

Markets and competition Identical products, as well as a large number of buyers and sellers, are characteristics of aperfectly competitive market. In such markets, sellers of goods cannot influence the prevailing market price, giving them the role of price takers in the market.

A. True

B. False

+5

Answers (1)

Know the Answer?

Amara Mcknight · Answer 1

The answer is true.

Explanation:

The sellers in the perfectly competitive market become price takers as they have to sell under the price decided in the market through supply and demand.

This is mainly because there is no way to differentiate the product to change the price. Since all goods are identical, one good is a perfect substitute for another.

Markets and competition Identical products, as well as a large number of buyers and sellers, are characteristics of aperfectly competitive market. In such markets, sellers of goods cannot influence the prevailing market price, giving them the role of price takers in the market.A. TrueB. False

Markets and competition Identical products, as well as a large number of buyers and sellers, are characteristics of aperfectly competitive market. In such markets, sellers of goods cannot influence the prevailing market price, giving them the role of price takers in the market.

A. True

B. False