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Perfectly elastic |
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Perfectly elasticRefers to a supply or demand curve with a price elasticity of infinity, implying that the supply or demand curve as usually drawn is horizontal. A small open economy faces perfectly elastic demand for its exports and supply of its imports, and a foreign offer curve that is a straight line from the origin.Similar MatchesImperfectly competitiveImperfectly competitiveRefers to an economic agent (firm or consumer), group of agents (industry), model, or analysis that is characterized by imperfect competition. Contrasts with perfectly competitive. Perfectly competitivePerfectly competitiveRefers to an economic agent (firm or consumer), group of agents (industry), model, or analysis that is characterized by perfect competition. Contrasts with imperfectly competitive. Perfectly mobile capitalPerfectly mobile capitalPerfect capital mobility. Perfectly competitive financial marketsPerfectly competitive financial marketsMarkets in which no trader has the power to change the price of goods or services. Perfect capital markets are characterized by certain conditions: (1) Trading is costless, and access to the financial markets is free; (2)information about borrowing and lending opportunities is freely available; and (3) there are many traders, and no single trader can have a significant impact on market prices. |
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