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What is perfect mobility in perfect …

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What is perfect mobility in perfect competition

Posted by Kaurgeous Mandeep 5 years, 2 months ago

CBSE > Class 12 > Economics

2 answers

Abhishek Thakur 5 years, 2 months ago

Perfect mobility means there is no contractual restrictions on factors of production like labour under perfect competition. So, they were free to take their decision. If it is profitable for them then they work with firm and if their is loss then they don't work and leave the industry.

1Thank You

Gaurav Seth 5 years, 2 months ago

The existence of perfect competition depends on perfect mobility of factors of production. The factor should be free to move from one use to another easily depending on the remuneration they get.

2Thank You

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CBSE > Class 12 > Economics