Examples of competitive markets


Can you assist me with the following problems?

Task: Grocery stores & gasoline stations in a large city would appear to be examples of competitive markets: There are many relatively small sellers, each seller is a price-taker & the products are similar.

Question 1. How could you argue that these markets are not competitive & why?

Question 2. Could each company face a demand curve that is not perfectly elastic & why?

Question 3. How profitable do you expect these stores and stations to be in the long run & why?

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Microeconomics: Examples of competitive markets
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