what-is-the-impact-of-having-numerous-buyers-and-sellers-on-the-pricing-mechanis

Question

What is the impact of having numerous buyers and sellers on the pricing mechanism in a perfectly competitive market?

Accepted Answer

It leads to a stable market price determined by supply and demand.

Answer

It causes prices to be set by government regulation.

Answer

It results in price fluctuations based on individual negotiations.

Answer

It allows individual buyers and sellers to influence the price.