question archive Can you answer these True/ False questions for me please

Can you answer these True/ False questions for me please

Subject:EconomicsPrice:3.86 Bought3

Can you answer these True/ False questions for me please.

1- Agricultural firms are closest to perfectly competitive industries as it gets ? True/False

2- The demand cure is vertical in perfectly competitive markets ? True/False

3- Perfectly competitive firms are price makers ? True/False

4-In perfectly competitive markets, many firms compete for the same consumer purchases ? True/False

5- There are characteristics of different market structures in perfect competition ? True/False

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  1. True
  2. False
  3. False
  4. True
  5. True

Step-by-step explanation

1. Several farmers selling identical products to the market, and many buyers. At the market, it is easy to compare prices. Therefore, agricultural markets often get close to perfect competition. Hence the statement agricultural firms are closest to perfectly competitive industries as it gets is indeed TRUE.

 

2 In Perfectly Competitive Market individual firms are price takers. The market demand curve slopes downward, while the firm's demand curve is a horizontal line. Hence the statement, the demand cure is vertical in perfectly competitive markets is FALSE.

 

3. Because the pressure of competing firms forces them to accept the prevailing equilibrium price in the market, perfectly competitive firm is known as a price takers. Hence the statement, perfectly competitive firms are price makers is FALSE because they are price takers.

 

4 Perfect competition is a model of the market based on the assumption that a large number of firms produce identical goods consumed by a large number of buyers. And so many firms compete for the same consumer purchases.

 

5  In perfect competition there are many producers of a certain product as well as buyers and we can observe different characteristics of market structures in this type of market.