02 Jun Considering all that you have learned about pure competition, post a response to t
Question
Considering all that you have learned about pure competition, post a response to the following:
• Does pure competition, as a market model, have any disadvantages for a) producers, and b) consumers? Give examples to substantiate your response.
The Desirability of Pure Competition
You have learned that in the long run, pure competition leads to productive efficiency and allocative efficiency. Given this fact, post a response to the following:
• Is pure competition a “desirable” market model for all industries? Should industries aspire for pure competition? Why or why not?
•
• Think of an industry that does not function in a purely competitive market currently. Describe the changes that would be required, if this industry wanted to function under pure competition.
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