Question

What is perfect competition? ​

Answer 1

Answer:

it discribes a market structure where competition is at its greatest possible level

Answer 2

Answer:

Perfect Competition

Perfect Competition is a market situation in which very large no. of buyers and sellers operate freely and the commodity is sold at a uniform price. It is an extreme form of market.

Features Of Perfect Competition :

• Large number of buyers and sellers

• Homogeneous or undifferentiated or identical products

• Perfect mobility of goods and factors of production

• Perfect Knowledge of market conditions

• Freedom of entry and exit

• Absence of Transportation costs.

• Uniform Price

• Absence of Govt. control

• Absence of Selling Cost.

Perfect Competition have 2 Features :

1 ) Homogeneous Products

2 ) Price Taking Firms and consumers