00:03
To answer this question, first we need to know what the characteristics of a perfectly competitive market are.
00:12
The first characteristic is that all the products that are offered by wholesalers are the same.
00:20
So first, characteristic is the same product.
00:46
So the same, here the same product means that all goods have the same colors and same design, the same other features.
00:53
So it's impossible for buyers to distinguish a good offer by one seller from a good offer by the other sellers.
01:01
So only information that buyers can use for products is its price.
01:06
The second characteristic of this market is that there are many buyers and many sellers in the market.
01:15
So many buyers and many sellers.
01:38
Since there are many buyers and many sellers in the market, individual seller cannot affect the market price...