At the equilibrium for a perfectly competitive market, the price will _____ the marginal cost for each business.Multiple choice question.equallie belowexceed

The correct answer is "equal."

In a perfectly competitive market, firms are price takers, meaning they accept the market price as given. At equilibrium, the price of the good produced by each firm will equal the marginal cost of production. This condition ensures that resources are allocated efficiently, as firms will continue to produce additional units of the good as long as the price is greater than or equal to the marginal cost. If the price were below marginal cost, firms would incur losses, and if it exceeded marginal cost, firms would increase supply until the price adjusts to the point where it equals marginal cost. Thus, the equilibrium condition reflects the equilibrium across all businesses in the market.