Asked by Rebecca Lovato on May 13, 2024
Verified
The industry that comes closest to perfect competition is
A) clothing.
B) the airlines.
C) wheat-growing.
D) steel.
E) the railroads.
Perfect Competition
A market structure characterized by a large number of buyers and sellers, homogeneous products, and free entry and exit, leading to price determination by supply and demand.
Wheat-Growing
The agricultural practice of cultivating wheat, a staple grain used worldwide for food.
- Understand the importance of uniform products in a perfectly competitive market.
Verified Answer
VS
Vince SandersMay 17, 2024
Final Answer :
C
Explanation :
Wheat-growing is often seen as an example of perfect competition because there are many small producers, a standardized product, easy entry and exit from the market, and access to information about prices and production techniques. Other industries, such as airlines and steel, have fewer players and may have more barriers to entry, making them less likely to exhibit perfect competition.
Learning Objectives
- Understand the importance of uniform products in a perfectly competitive market.
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