Question

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[Hint: For a price taking firm, AR is constant. In case AR is constant, MR is also constant
JUL
does the curve pass through the origin?
3. Why is the total revenue curve of a price taking firm an upward sloping straight line? wa
Implying that TR increases at a constant rate. Hence, TR forms a straight line sloping upwa
It passes through the point of origin, simply because TR is zero when output is zero.​

Answer 1

Answer:

In case AR is constant, MR is also constant. JUL. does the curve pass through the origin? ... It passes through the point of origin, simply because TR is zero when output is zero.

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