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प्रश्न
Explain any four features of perfect competition.
Explain the perfect competition’s three characteristics.
Describe any three characteristics of perfect competition.
What are the characteristics of a perfectly competitive market?
Give two characteristics of perfect competition.
Mention one feature of a perfect market.
State two features of perfect competition.
Give two features of perfect competition.
Explain one feature of perfect competition.
Explain the characteristics of perfect competition.
Give any four features of a perfectly competitive market.
Give the main features of perfect market.
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उत्तर
- Large Number of Buyers and Sellers: The market price cannot be influenced by any single buyer or seller because of the large number of participants. Each firm contributes so little to overall output that changes in supply have little effect on market price. Similarly, individual buyers cannot impact demand. As a result, each firm is a price taker.
- Homogeneous Product: All firms offer identical or completely interchangeable items. There is no difference in quality, brand, or features, and purchasers are indifferent about the seller. As a result, a uniform pricing prevails in the market because no firm can charge more than another.
- Free Entry and Exit: Firms have the freedom to enter and exit the market without any legal, financial, or technical barriers. If firms make excessive profits, more firms enter the market, increasing supply and driving down prices. Firms that incur losses exit the market, reducing supply and raising prices. This system ensures that profits remain typical in the long run.
- Perfect mobility: Land, labour, and capital can freely flow between enterprises and industries. This mobility ensures that resources are allocated efficiently by shifting them to the most productive locations. It also promotes the entry and exit of enterprises.
- Perfect Knowledge: Buyers and sellers have complete knowledge about product prices, quality, and market conditions. No business may charge more than the market price, and customers will not pay more than necessary. Firms also understand the most efficient production procedures, resulting in similar cost structures.
- Absence of Selling Cost: Assuming no transportation costs, the price is constant for all buyers, regardless of location. If transportation expenses didn’t exist, retailers closer to the buyer could charge less. This assumption contributes to a market-wide price uniformity.
Notes
Students should refer to the answer according to their question and preferred marks.
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संबंधित प्रश्न
Discuss any two features of a monopolistically competitive market.
Which two forms of market earn normal profit in the long run?
Identify the market having a single buyer and many sellers from the following:
When products are differentiated on the basis of advertisements, brand names etc., it is called as ______.
Non-price competition is ______.
The image above shows a departmental store of a market structure.
- Identify the form of market as observed from the above image.
- Discuss the features of this market form with respect to:
- Type of product
- Entry and exit of firms
- Selling cost
Selling costs are absent in perfect competition market.
Firm A hires the services of Rohit Sharma to act as the Brand ambassador for its products X. Identify the nature of market for commodity X.
“While shopping for fruits in the local market you see many seller selling fruits”. In this context answer the following:
- What is the type of market referred to?
- State and draw the type of demand curve faced by the market above.
- Differentiate between the market indicated above and monopoly on the basis of:
- No. of sellers
- Market price
- Entry and exit of firms in the market
Following is the feature of perfect competition:
'A few big sellers' is a characteristic of ______.
Marginal revenue of a firm is constant throughout under:
A seller cannot influence the market price under:
In monopolistic competition, there are ______.
Indian Railways is an example of ______.
Match the following and select the correct option:
| Column I | Column II | ||
| (i) | Perfect competition | (A) | Differentiated Products |
| (ii) | Monopoly | (B) | Few large firms |
| (iii) | Monopolistic Competition | (C) | Single seller |
| (iv) | Oligopoly | (D) | Homogeneous products |
There is no difference between perfect competition and pure competition.
Match the following and select the correct option.
| Column I | Column II | ||
| (i) | Perfectly elastic demand | (A) | Oligopoly |
| (ii) | Less elastic demand | (B) | Monopolistic competition |
| (iii) | More elastic demand | (C) | Perfect competition |
| (iv) | Indeterminate demand | (D) | Monopoly |
"The price of a product under perfect competition is determined by an individual seller."
A market where homogeneous products are sold with no control over price by an individual firm or a buyer is ______.
The seller in a monopoly market is a price maker.
Which of these feature's is found in both a perfectly competitive market and a monopolistically competitive market?
Pick the option which does not belong to the group.
Imperfect knowledge is a characteristic feature of:
Which one of the following is NOT found in a perfectly competition market?
The market structure which is characterised by a single producer of a commodity and when there are not close substitutes for that commodity:
Which of the following is the least competitive market?
Match the following:
| Column I | Column II | ||
| A. | Monopoly | (i) | Availability of close substitutes |
| B. | Oligopoly | (ii) | Absence of close substitutes |
| C. | Perfect competition | (iii) | Few large sellers |
| D. | Monopolistic competition | (iv) | Homogeneous products |
Match the following:
| Column I | Column II | ||
| A. | Demand curve under perfect competition | (i) | Indeterminate demand curve |
| B. | Demand curve under monopoly | (ii) | Downward sloping but less elastic |
| C. | Demand curve under monopolistic competition | (iii) | Horizontal straight line |
| D. | Demand curve under oligopoly | (iv) | Elastic demand curve |
Read the following statements carefully and choose the correct alternative:
Assertion (A): Buyers are ready to pay different prices for the product produced by different firms under perfect competition.
Reason (R): The products offered for sale in the perfect market are homogeneous.
Define perfect competition.
What is meant by pure competition?
Mention two features of monopoly.
There are no substitute goods in a monopoly market. Give a reason to support your answer.
Give three points of difference between perfect competition and monopoly.
Define monopsony.
To which market is product differentiation relevant?
What are selling costs?
Identify the market form of the following:
The Government of India is the sole buyer of fighter aircrafts.
Identify the market form of the following:
Goods sold are homogeneous.
Identify the market form of the following:
Market for toilet soaps in India.
Identify the market form for the following:
Railways in India.
Identify the market form for the following:
Textile industry in India.
Identify the market form for the following:
Perfectly elastic demand.
State the market form of the following commodity.
Railways
State the market form of the following commodity.
Shampoos
Identify the market form for the item given below:
A single seller
Identify the market form for the item given below:
Product differentiation
Explain the main characteristics of a monopoly.
Discuss any four differences between monopoly and monopolistic competition.
Which type of market structure is the following? Give reason.
Trucks
Which type of market structure is the following? Give reason.
Mobile phone services
Which type of market structure is the following? Give reason.
Jeans
Which type of market structure is the following? Give reason.
Ball-pen
Monopolistic competition is the perfect blending of monopoly and perfect competition. Explain.
To which market is price discrimination relevant?
To which market form are homogeneous products relevant?
What is meant by the term ‘price taker’?
What induces new firms to enter an industry?
What is meant by barriers to entry?
What is the effect on price when a perfectly competitive firm tries to sell more?
What is the effect on price when a monopoly firm tries to sell more?
What is the difference between collusive and non-collusive oligopoly?
What does perfectly elastic demand curve faced by a competitive firm indicate?
Identify the market form from the following:
A few large sellers
There is inverse relation between price and demand for the product of a firm under ______.
There are a large number of buyers and sellers under a ______ market.
Mention one feature of a monopoly market.
Why do producers incur high selling costs in an imperfect market?
Name the characteristic which makes monopolistic competition different from perfect competition.
What is a price making firm?
Why are selling costs incurred?
Which feature best distinguishes monopolistic competition from perfect competition?
