Question:medium

Which of the following are the features of perfect competition?

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Perfect competition implies price-taking behavior and many participants, with homogeneous products.
Updated On: Mar 11, 2026
  • Product Heterogeneity
  • Free entry and exit of firms
  • The firm is a price maker
  • Large number of buyers and sellers
Show Solution

The Correct Option is B

Solution and Explanation

Step 1: Characteristics of perfect competition: Product homogeneity, unrestricted entry and exit, price-taking behavior (not price-setting), numerous buyers and sellers.

Step 2: Correct choices: B and D.

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