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Do you agree or disagree? Explain why?

Can you name five examples of perfectly competitive
markets? Why or why not?
We will start off with the first example I can think of. Foreign
exchange services.

User Pasted
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1 Answer

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Final answer:

A perfectly competitive market is a market structure with many buyers and sellers, homogeneous products, and no market power. Examples include agricultural products, financial markets, commodity markets, online retail platforms, and professional services.

Step-by-step explanation:

A perfectly competitive market is a market structure in which there are many buyers and sellers, homogeneous products, perfect information, easy entry and exit, and no market power. Here are five examples of perfectly competitive markets:

  1. Agricultural products such as wheat, corn, and soybeans
  2. Financial markets such as stocks and bonds
  3. Commodity markets such as oil and gold
  4. Online retail platforms such as Amazon Marketplace or eBay
  5. Professional services such as legal or accounting firms

These examples meet the criteria of a perfectly competitive market because they have many participants, standardized products, transparent information, low barriers to entry, and no significant market power.

User Sandeep Patil
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