Final answer:
Conditions for pure competition include free entry and exit, standardized products, and a very large number of firms. Price searchers do not align with pure competition, as firms are price takers in such a market. Hence, the correct answers are option (2), (3), and (4).
Step-by-step explanation:
The conditions necessary to have pure competition include:
- Free entry and exit
- Standardized product
- A very large number of firms or sellers
These conditions ensure that firms produce identical products, there is a large number of both buyers and sellers, all parties have relevant information for making rational decisions, and there are no barriers to entry or exit from the market. Price searchers are not characteristic of a perfectly competitive market because firms are price takers; they accept the market price as given.