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In a perfectly competitive market, competition drives prices to the point where they

generate profits.
no longer cover costs.
just cover costs.
produce losses.

User Cherese
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Answer: Generate profits

Explanation: In a perfectly competitive market that involves the absence of a monopoly, prices are formed so that all competitors make a profit. The absence of a monopoly means fair conditions for everyone, and anyone, according to their abilities, investments, can make a profit. Otherwise, the monopoly destroys other competitors by forming a price that is not realistic by the laws of the market, that is, is not marketable and exceeds the capabilities of other competitors. A perfect competitive market, in other words, means determining the market conditions in which all competitors can participate.

User Pjama
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