The wheat market is often cited as a classic example of perfect competition due to the presence of many buyers and sellers, homogeneous products, and free entry and exit. In such a market, individual firms are price takers, meaning they must accept the prevailing market equilibrium price determined by aggregate supply and demand forces. Any attempt to deviate from this price results in a complete loss of sales for the individual producer.

Pure competition is characterized by a large number of buyers and sellers, freedom of entry and exit for firms, and perfect homogeneity of products. While mobility of resources is often associated with perfect competition, pure competition specifically emphasizes the first three factors. The absence of barriers allows for market equilibrium to be determined solely by supply and demand forces.

Predatory pricing involves setting prices artificially low to drive competitors out of the market, which is prohibited under the Competition Act, 2002 in India. This practice is viewed as an abuse of dominant market position, as it harms competition and limits consumer choice in the long run.

The practice of selling goods at a lower price in international markets compared to the domestic market is technically known as 'dumping'. However, the provided answer identifies this as 'Oligopoly'. While firms in an oligopolistic market structure are capable of engaging in such price discrimination strategies to capture foreign market share, the specific act described is universally defined as dumping in international trade economics.

A monopsony exists when there is only one buyer in a market. In this scenario, because the farmer has only one entity (the board) to whom they can sell their products, the board acts as a single buyer. This gives the board significant market power to influence the prices paid to the producers, as the producers have no alternative outlets.

In perfect competition, a firm maximizes profit where Price equals Marginal Cost (P=MC). However, the firm will only continue to operate in the short run if the price covers at least the average variable cost. Therefore, the supply curve is the segment of the MC curve lying above the minimum point of the Average Variable Cost (AVC) curve.

In perfect competition, firms are price takers, meaning they can sell any quantity at the prevailing market price. Consequently, the price remains constant, making the average revenue (AR) equal to the marginal revenue (MR). Both curves are represented by the same horizontal line at the market price level.

In perfect competition, the firm is a price taker, facing a perfectly elastic demand curve. Conversely, a monopoly faces a downward-sloping demand curve, which is generally less elastic (more inelastic) compared to perfect competition because the monopolist has market power and faces fewer close substitutes. Therefore, stating that a monopoly demand curve is 'relatively more elastic' is incorrect.

In the short run, a firm should continue operating as long as the market price covers at least its average variable costs, as this allows the firm to contribute to its fixed costs. If the price falls below the average variable cost, the firm loses more money by operating than by shutting down.

Capitalism is defined by private ownership of the means of production, where economic decisions are driven by market forces, competition, and the profit motive, rather than by central government planning.