True or False:
1. In perfect competition, no single firm produces more than an extremely small proportion of output, so no firm can influence the market price.
2. Perfectly competitive firms are price takers because their influence on price is insignificant.
3. It is difficult for entrepreneurs to become suppliers of a product in a perfectly competitive market structure.
4. A perfectly competitive market is approximated most closely in highly organized markets for securities and agricultural commodities.
5. A perfectly competitive firm cannot sell at any figure higher than the current market price and would not knowingly charge a lower price, because it could sell all it wants at the market price.
6. In a perfectly competitive market, individual sellers can change their output without altering the market price.
7. In a perfectly competitive industry, the market demand curve is perfectly elastic at the market price.
8. Because perfectly competitive firms are price takers, each firm’s demand curve remains unchanged even when the market price changes.