Asked by
Trelani Mcgill2020
on Nov 05, 2024
Verified
In perfect competition, P = MC is the condition that
A) guarantees that firms will make an economic profit.
B) ensures that firms produce the right things.
C) encourages firms to enter an industry.
D) holds only in the long run.
Perfect Competition
A market structure characterized by a large number of small firms, identical products, and free entry and exit, leading to price-takers.
- Gain insight into the basics of perfect competition and how it affects the efficiency of producing goods and allocating resources.
Verified Answer
KK
Learning Objectives
- Gain insight into the basics of perfect competition and how it affects the efficiency of producing goods and allocating resources.