Which of the following is NOT a characteristic of perfect competition?
A) There are many buyers and sellers.
B) Each firm determines the market price of its product.
C) Products are homogeneous.
D) Buyers and sellers have equal access to information.
Answer: B
You might also like to view...
The prevailing view of globalization is that it brings
a. coercive powers which tend to have a negative effect on developed nations. b. both significant opportunities and dangers. c. mostly dangers such as economic competition and unemployment to developing nations. d. mostly economic opportunities to both developed and developing nations.
Market failure occurs when
a. all Pareto improvements are undertaken b. refusal to make a side payment reduces Pareto efficiency c. the economy operates above the production possibilities frontier d. markets are perfectly competitive e. some Pareto improvements are not made