A competitive industry is characterized by a single firm with control over the market price producing a product with no close substitutes. a single firm with limited control over the market price producing a product with many close substitutes. many firms with control over the market price producing differentiated products. many firms with no control over the market price producing identical products.

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Business

Darwin Hood

27 July, 05:55

A competitive industry is characterized by a single firm with control over the market price producing a product with no close substitutes. a single firm with limited control over the market price producing a product with many close substitutes. many firms with control over the market price producing differentiated products. many firms with no control over the market price producing identical products.

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Octavio Hammond · Answer 1

Answer: many firms with no control over the market price producing identical products.

Explanation: A competitive industry is an industry characterised by:

1. No barriers to entry

2. Firms produce homogenous goods

3. Firms have no control over market price. They are price takers.

4. Many firms.

A monopoly is characterised by:

1. A single seller that sets marker price

2. High barriers to entry

An oligopoly is characterised by few firms in the industry.