Which of the following is (are)basic feature(s)of a perfectly competitive industry?
A) Buyers and sellers have perfect information.
B) There are no transaction costs.
C) There is free entry and exit in the market.
D) All of the statements associated with this question are correct.

Question

Quizplus · Accepted Answer

All three statements are basic features of a perfectly competitive industry. In a perfectly competitive market, buyers and sellers have access to complete and accurate information, transaction costs are negligible, and there is free entry and exit for businesses. These conditions ensure that no single buyer or seller can influence the price of goods or services in the market, and that firms must always strive to produce at the lowest cost possible in order to remain competitive.

Which of the Following Is (Are)basic Feature(s)of a Perfectly Competitive