examine the behaviour of TR AR and MR under imperfect competition
Answers
Answered by
1
Explanation:
As a competitive firm behaves as a price-taker, its AR remains the same even if volume of sales increases. ... In other words, the AR curve or the demand curve faced by a competitive firm becomes perfectly elastic. Under imperfect competition, AR curve becomes negative sloping. It declines continuously as price declines..........
Similar questions