Perfect competition:- Perfect competition is that market situation in which a large number of buyers and sellers are found for homogeneous product. Single buyer or the seller are not capable of affecting the prevailing price and hence in a perfectly competition market, a single market price prevails for the commodity.
According to left witch, “perfect competition is a market in which there are many firms selling identical products with no firm large enough relative to the entire market to be able to influence market price.”
Pure competition- the concept of ‘Pure competition’ is more real than the concept of ‘perfect competition’ chamberlin has made a distinction between ‘perfect competition’ and ‘Pure competition.’
In the words of Chamberlin, “ Pure competition means competition unallowed by monopoly elements. It is a much simpler and less exclusive concept than perfect competition for the latter may be interpretated to involve perfection in many other respects than in the absence of monopoly.”
