ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Under perfect competition, there are a large number of buyers and sellers in the market. Uner competition, the firms have no control over the price.

Detailed explanation-2: -In a perfectly competitive market, each firm is a price taker, meaning that it has no control over the price. If it tries to raise its price, it loses all its consumers to other firms.

Detailed explanation-3: -The correct sequence of the market structure from most to least competitive is perfect competition, imperfect competition, oligopoly, and pure monopoly.

Detailed explanation-4: -Perfect competition describes an imaginary market condition where all consumers have access to the same products and information. In this type of economy, all firms must offer the lowest price possible or risk being undercut by their competitors.

Detailed explanation-5: -In a monopolistic market, the monopoly, or the controlling company, has full control of the market, so it sets the price and supply of a good or service.