+2 votes
in Class 12 by kratos

A firm in a Perfect competitive market is a price-taker. Why?

1 Answer

+2 votes
by kratos
 
Best answer

In a perfect competitive market, each firm is a price taker as no single firm can influence the price level. The firms do not have any power over the market. The firm has to accept the existing price and sell its goods or services.

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