Which is not a characteristic of perfect competition? A.brand name advertising B.many small sellers C.identical (or standardized) products D.fully informed buyers

Which is not a characteristic of perfect competition?
A.brand name advertising
B.many small sellers
C.identical (or standardized) products
D.fully informed buyers

Answer

• brand name advertising
  Explanation:
  In perfect competition, there are many buyers and sellers and no single individual has power over prices of goods and services. Buyers and sellers have no barriers to entry or exit. Advertising in perfect competition is illogical because this would increase marginal cost of production without any impact on demand because products are standardized.