The long-run characteristics of perfect competition are as follows（ ）.
A: Large number of buyers and sellers
B: Homogeneous product
C: Perfect information
D: Free entry and exit
A: Large number of buyers and sellers
B: Homogeneous product
C: Perfect information
D: Free entry and exit
举一反三
- Which of the following is a characteristic of perfect competition? A: . A single seller. B: . A small number of buyers. C: . Buyers and sellers are price setters. D: . Buyers and sellers are price takers.
- In monopolistically competitive markets, free entry and exit suggests that A: the market structure will eventually be characterized by perfect competition in the long run. B: all firms earn zero economic profits in the long run. C: some firms will be able to earn economic profits in the long run. D: some firms will be forced to incur economic losses in the long run.
- Which one of the following statements is TRUE for BOTH perfect competition and monopolistic competition? A: Each type of firm faces a downward sloping demand curve. B: Each type of firm produces a homogeneous product. C: In the long run, firms in both industries make zero economic profit. D: Each type of firm competes on product quality and price.
- Which of the following characteristics is common to monopolistic competition and perfect competition? A: Firms produce identical products. B: Entry barriers into the industry are low. C: Each firm faces a downward-sloping demand curve. D: Firms take market prices as given.
- Which of the following would occur if a single farm in perfect competition lowered its price below the long-run equilibrium market price?