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In which form of market is the seller a price taker? Justify your answer.

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प्रश्न

In which form of market is the seller a price taker? Justify your answer. 

In which market form the firm is price taker?

“Under which type of a market are producers price takers?”

Under which market form a firm is a price-taker?

औचित्य
लघु उत्तरीय
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उत्तर

  1. In a perfectly competitive market, the seller is a price taker.
  2. In perfect competition, there are many sellers and purchasers in the market, and all firms sell identical (homogeneous) products. Because each firm’s output is small in comparison to the entire market supply, no single seller can influence market price.
  3. Because all businesses sell the same commodities, no company can differentiate its product sufficiently to demand a higher price, requiring every seller to be a price taker.
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Notes

Students should refer to the answer according to the question.

  क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
अध्याय 5: Meaning and Types of Markets - Exercise [पृष्ठ ११६]

APPEARS IN

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वीडियो ट्यूटोरियलVIEW ALL [2]

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