For An Industry To Be Perfectly Competitive, What Must Exist?
For an industry to be perfectly competitive, what must exist?
-large number of buyers and sellers
-free flow of information of prices of all products
-homogeneous products
-well defined property rights
-no barriers to entry and exit
-everyone is a price taker
-perfect factor mobility
-seller profit maximization
-rational buyers
-no externalities
-zero transaction costs
-anti-competitive regulation
-non-increasing returns to scale and no network effects
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