Tom:Ms. Lee, why are tomatoes the same price at every stall in the market?Ms. Lee:Good question, Tom! That’s because the market is perfectly competitive. Everyone is selling the same product, so no one can charge more. They’re price takers.Tom:So they have no power to set the price?Ms. Lee:Exactly! The market decides the price, and sellers just accept it.Tom:But what about the water company? Their prices are so high!Ms. Lee:That’s a different story. A monopoly like a water company is the only seller. They have price-setting power — we call them price makers.Tom:So they can charge whatever they want?Ms. Lee:Well, almost! If they set the price too high, the government might step in. But yes — they control the price, unlike farmers or small sellers.Tom:Got it! In perfect competition, sellers follow the market. In monopoly, the seller is the market!Ms. Lee:Perfect summary, Tom!