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Economics

Efficiency is a hot topic in the media regarding transportation, energy, and many other industries. Explain how perfectly competitive markets use or do not use resources efficiently.

PLEASE USE ANY CITATION, EXCEPT WIKIPEDIA, ENCARTA, OR WORLD BOOK

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The response addresses the queries with references.

//In this paper, we will discuss the definition of a perfectly competitive market. The paper will also include about the role of resources in a perfectly competitive market. We will also discuss about the effective use of available resources by the perfectly competitive markets.//

Perfectly competitive market is the market where group of individuals and many small firms participate in trading of goods and services. The price of homogeneous products is not set by the firms, buyers and other participants of the market, because they do not have enough power to set the price of the product. The prices of the products are set by the market only because the market conditions are very rigid. In ...

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The response addresses the queries in 450 words with references.

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