For a market to be perfectly competitive. there must be O A. many buyers and a tear sellers, with all rms sell'ng identical products, and no baniers to new rms entering the market. 0 B. many buyers and sellers, with all rms selling identical products, and no barriers to new rms entering the market. 0 C. many buyers and one seller, with the rm producing a product that has no dose substitutes. and barriers to new rms entering the market. 0 D. many buyers and sellers, with rms selling similar but not identical products, with law han'iers to new rms entering the market. 0 E. many buyers and a small number of rms that compete. selling differentiated products, and barriers to new rms entering the market. . What is a price taker? A price taker is O A. a rm with a downward-sloping demand curve. 0 B. a rm that is unable to affect the market price. 0 C. a rm with a perfectly inelastic demand curve 0 D. a rm that does not seek to maximize prots. 0 E. a rm that has the ability to charge a price greater than marginal cost. When are rms likely to be price takers? A rm is likely to be a price taker when 0 A. it sells a differentiated product. 0 8. rms in the industry collude. O c. It represents a small fraction of the total rrrsrlrel. O D. It has market power. 0 E. barriers to entry are substantial.