Price elasticity of demand of a firm under perfect competition will be:

CA Foundation · Business Economics · PYQS · January 2025
Price elasticity of demand of a firm under perfect competition will be:
(A) A. Very Large
(B) B. Infinite
(C) C. Large
(D) D. Small

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. Infinite

Topics: Price Determination in Different Markets, Theory of Demand and Supply

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