In the context of perfect competition, which one of the following is not correct? Option 1: Firm has full control over price. Option 2: Horizontal straight line demand curve of the firm. Option 3: Freedom of entry and exit. Option 4: Selling costs do not exist.

The answer is 'Firm has full control over price.'. View full solution:

CUET Economics - In the context of perfect competition, which one of the following is not correct? | PYQs + Solutions

CUET Economics 2025 3 June Shift 1

Micro

Medium

Firm has full control over price.

Horizontal straight line demand curve of the firm.

Freedom of entry and exit.

Selling costs do not exist.

✅ Correct Option: 1

Related questions:

3 June Shift 2

A perfectly competitive market in an economy is categorized by the following features.

(A) Firms are price-takers.

(B) Average revenue is equal to market price.

(D) Marginal revenue is equal to market price.

Choose the correct answer from the options given below:

22 May Shift 1

Let us consider the example of a market consisting of identical farms producing the same quality of wheat. Suppose the market demand curve and the market supply curve for wheat are given by: qᵈ = 200 - p and qˢ = 120 + p. What is the equilibrium price?

31 May Shift 1

Select the INCORRECT feature of the market with respect to perfect competition.

The market consists of a large number of buyers and sellers.
Entry into the market as well as exit from the market are free for firms.
Buyers are price makers.
There is perfect knowledge.

CUET Economics 2025 3 June Shift 1 PYQs

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