Production, Costs, and Perfect Competition
Production, Costs, and Perfect Competition
Choose a market for a good in your area that seems to be a perfectly competitive market. Answer the following questions to describe the market and the competitive environment in the market:
- What good or service is provided in this market?
- Who are the buyers and who are the sellers in the market?
- Are there many sellers in the market?
- Are there very many substitutes for the good or service?
- If the store where you usually buy this item raised its prices, would you go to another store or switch products? Explain.
- Do you think that this a competitive market? Explain
