Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Non Competitive markets

Question:
Which of the following can be considered incorrect about perfect competition?
Options:
Mobility of factors of production
Presence of selling costs
Uniform pricing
Absence of transportation costs
Correct Answer:
Presence of selling costs
Explanation:
Selling costs are absent in perfect competition due to homogeneous products sold by all the firms in an industry.