Question

Identify the market forms of the two sellers of goods A and B, given the following information. Give reasons for your answer: `{:("Output Sold","Price of X","Price of Y"),(" (Units)"," (Rs)"," (Rs)"),(" "10," "5," "5),(" "20," "5," "4),(" "30," "5," "3"):}`

Answer 1

`cdot` The market of seller A is pefectly competitive market because in this market a firm can sell any quantity at a given price.
`cdot` The market of seller B is imperfectly competitive or monopoly, because in such a market a firm can sell more only by lowering the price.