a) Describe the characteristics of a perfect competition and, using diagrams as appropriate, explain how the equilibrium changes as firms move from the short run to the long run.

(b) Former US politician Beto O’Rourke recently said “I always think competition produces better results than monopoly.” Evaluate the view that, for the consumer and society, competition always produces better results than a monopoly?

Answer rating: 100% (QA)

The characteristics of a perfectly competitive market include there are many buyers and many sellers ... View the full answer