Under perfect competition

A) no firm has any influence over price.
B) firms are price takers,not price makers.
C) many firms produce identical products.
D) All of the choices are true under perfect competition.

Perfect Competition

a market structure characterized by a large number of small firms, producing identical products, with no single firm able to influence the market price.

Price Takers

Firms or individuals in a market who accept the prevailing prices as they cannot influence them due to their small market share in highly competitive markets.

Identical Products

Products that are the same in every aspect, often referred to in economics to describe goods that have no differentiation in the eyes of consumers.