Economy, asked by shabnam1126, 1 year ago

merits and demerits of a perfect competition market??

Answers

Answered by shefaliskc
1
Merits of perfect competition : 1) Proper knowledge of product among consumer. 2) Due to homogeneous product less promotional cost. 3)Less competition. 4)  no barrier to entry or exit. 5) no monopoly .

Demerits of perfect competition:1)no variety in products. 2) seller can't earn more than normal profit.3) In this competition producer not take initiative of modification or  new invention .

shabnam1126: thnks alott
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