If Mark Etts expresses a desire to sell his corn at a local farmers market, he must be aware that the product is standardized and that he will have no control over the price. The market structure he is MOST likely participating in is

COMPETITION AND MARKET STRUCTURES

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

If Mark Etts expresses a desire to sell his corn at a local farmer’s market, he must be aware that the product is standardized and that he will have no control over the price. The market structure he is MOST likely participating in is

A	monopolistic competition
B	oligopoly
C	perfect competition
D	monopoly

Explanation:

Detailed explanation-1: -Answer and Explanation: Perfect competition. The market for corn is perfectly competitive.

Detailed explanation-2: -The market for corn is considered perfectly competitive because there are many sellers, entering the market is easy, and regardless of sellers, the product is identical.

Detailed explanation-3: -A. Monopolistic competition is a market structure characterized by a large number of firms selling products that are close substitutes yet different enough that each firm’s demand curve slopes downward.

Detailed explanation-4: -Oligopoly is a market structure that has a few large firms selling the products in the market and has restrictions on the entry of new firms. Therefore, the new firms find it difficult to enter this market.

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ECONOMICS (CBSE/UGC NET)

ECONOMICS

COMPETITION AND MARKET STRUCTURES