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This is a class question that needs to be answer with at least 150 words. I would like it explain in your own words, but if not please cite-in-text with reference. No Plagiarism

Competition among firms is a common occurrence in the modern economy. In order to study the extent of this competition, economists classify these markets as perfectly competitive market, monopoly market, monopolistic market and oligopolistic market. This week we are focusing on the most fundamental market structure, the perfect competition. How do economists characterize this market structure.

Class–Discuss the basic characteristics of a perfectly competitive industry. Give real-world examples (firm, and product or service) for such a market if possible and explain why this product belong this market structure.

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