Answer:
Firms are said to be in perfect competition when the following conditions occur: (1) many firms produce identical products; (2) many buyers are available to buy the product, and many sellers are available to sell the product; (3) sellers and buyers have all relevant information to make rational decisions about the product being bought and sold; and (4) firms can enter and leave the market without any restrictions—in other words, there is free entry and exit into and out of the market.
Explanation:
A perfectly competitive firm is known as a price taker, because the pressure of competing firms forces them to accept the prevailing equilibrium price in the market. If a firm in a perfectly competitive market raises the price of its product by so much as a penny, it will lose all of its sales to competitors. When a wheat grower, as discussed in the Bring it Home feature, wants to know what the going price of wheat is, he or she has to go to the computer or listen to the radio to check. The market price is determined solely by supply and demand in the entire market and not the individual farmer. Also, a perfectly competitive firm must be a very small player in the overall market, so that it can increase or decrease output without noticeably affecting the overall quantity supplied and price in the market.
A perfectly competitive market is a hypothetical extreme; however, producers in a number of industries do face many competitor firms selling highly similar goods, in which case they must often act as price takers. Agricultural markets are often used as an example. The same crops grown by different farmers are largely interchangeable. According to the United States Department of Agriculture monthly reports, in 2015, U.S. corn farmers received an average price of $6.00 per bushel and wheat farmers received an average price of $6.00 per bushel. A corn farmer who attempted to sell at $7.00 per bushel, or a wheat grower who attempted to sell for $8.00 per bushel, would not have found any buyers. A perfectly competitive firm will not sell below the equilibrium price either. Why should they when they can sell all they want at the higher price? Other examples of agricultural markets that operate in close to perfectly competitive markets are small roadside produce markets and small organic farmers.
Answer:
The framers of the Constitution understood from an experienced point of view the problem of allowing any one man or group to have unyielding power. To ensure such tyranny did not become part of the new government they instituted numerous checks on the power of the government. The limitations placed upon each was twofold. It required the partitions of the federal government to work in concert according to the mandates of the people and it ensured no portion of the government had the power to trample individual liberty.
The three branches of the government have different and if unchecked vastly powerful divisions of the government. The Executive Branch, consisting of the governing officials such as the President are controlled by the people through the vote as well as the other two branches. This limits the ability of the President to make decrees outside the bounds of the Constitution. This was a very real concern of the founders having experienced the oppression of the British Crown.
The Legislative Branch, made up of Congress has the power of the purse. By controlling the federal budget and enacting legislation the group could quickly overwhelm the public with burdensome mandates. They are controlled via the vote, and the other two branches to control their power.
Finally the Judicial Branch, the courts have power to send innocent people to jail. This was perhaps the second greatest concern of the founders. Some courts are held in check by direct vote, but even those appointed are subject to disciplinary measures if they are found to act outside their jurisdiction. Another key aspect in controlling courts is the Executive ability to grant pardons.
The balancing act the federal government is forced to endure certainly slows down the process and deliberately so. The government was designed to be slow to act to ensure no one's rights were violated. Ultimately the states as a collective have a check over the federal system as well through the ability to amend the Constitution when needed. The founders knew that two heads were better than one and a hundred were better than two. They compromised on speed, but took security in the thought that a slow right was better than a quick wrong.
Explanation:
They were the start and base of law and order dating back to 450 BC.
Incarcerate, imprison,jail, detained
