A market is competitive if
(i)firms have the flexibility to price their own product.
(ii)each buyer is small compared to the market.
(iii)each seller is small compared to the market.
A)(i) and (ii) only
B)(i) and (iii) only
C)(ii) and (iii) only
D)(i), (ii), and (iii)

Question

Quizplus · Accepted Answer

In a competitive market, both buyers and sellers are price takers, meaning they are small compared to the market and cannot influence prices.

A Market Is Competitive If