Why do economists prefer to use the model of perfect competition in most economic analysis?
Economists have three main uses for the model. First, its assumptions are reasonably close to actual conditions in some markets. Second, if a market satisfies some but not all of the assumptions, we often start from perfect competition and then see what happens when we replace the usual assumptions with more realistic ones. Third, the perfectly competitive market is a standard for analyzing consumer and producer benefits.
Economics
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At the beginning of the Vietnam War, increased military spending in the United States decreased unemployment
Indicate whether the statement is true or false
Economics
From a supply perspective, what impact would an increase in the price of motorcycles have on the market for motorcycles?
What will be an ideal response?
Economics