Boeing Corporation and Airbus Industries are the only two producers of long-range commercial aircraft. This market is not perfectly competitive because:

A) each company has annual sales over $10 billion.
B) each company can significantly affect prices.
C) Airbus receives subsidies from the European Union.
D) Airbus cannot sell aircraft to the United States government.
E) all of the above

Perfectly Competitive

Refers to a market structure where many firms sell identical products, entry and exit are easy, and no single firm can influence the market price.

Airbus Industries

A major European multinational aerospace corporation known primarily for designing, manufacturing, and selling commercial aircraft worldwide.

Annual Sales

The total revenue a company generates from its business activities over the course of a year.