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(1) For the demand curve facing a perfectly competitive firm is P= MR = AR MR < Q P >MR < AR MR > Q
(1) For the demand curve facing a perfectly competitive firm is
- P= MR = AR
- MR < Q
- P >MR < AR
- MR > Q > 0
(2) When MR < AR and MR>0
- TR is rising as Q increases
- TR is at a maximum
- |e| = 1
- MR is rising
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