What r the characteristics & features of Perfect Competition ?
In this competition,
- firms are the price taker.
- more quantity can be sold at same price.
Features of Perfect Competition :
* Large no. of buyers and sellers exist in the market
* Perfect knowledge among buyers about market conditions.
* A firm under Perfect Competition is a price taker.
*A uniform price prevails in the market irrespective of the quantity sold.
* Free Entry and exit of firms (Implication = Elimination of super normal profits/losses)
* Homogenous products are sold.
* No extra selling or transportation cost involved.