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Price can be substituted for marginal revenue in the MR = MC rule when an industry is purely competitive because price is constant regardless of
Price can be substituted for marginal revenue in the MR = MC rule when an industry is purely competitive because price
- is constant regardless of the quantity demanded
- and marginal cost are the same in pure competition
- minus cost equals marginal revenue
- is the same as average revenue
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Managerial Economics and Business Strategy
Authors: Michael R. baye
7th Edition
978-0073375960, 71267441, 73375969, 978-0071267441
