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प्रश्न
Which assumption of perfect competition prevents firms from gaining advantage by advertising?
पर्याय
Free entry and exit of firms
Absence of government intervention
No transport costs
No selling costs
MCQ
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उत्तर
No selling costs
Explanation:
Under perfect competition, firms do not spend on advertising because products are identical and buyers already have perfect knowledge, so selling costs are assumed to be zero.
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