Invariably if a typical firm in a perfectly competitive market is experiencing an average revenue that is greater than its average cost.
A. price will increase.
B. Other firms will enter the market
C. Other firms will leave the market
D. Demand will decrease
Answer:B
Invariably if a typical firm in a perfectly competitive market is experiencing an average revenue that is greater than its average cost.
A. price will increase. B. Other firms will enter the market C. Other firms will leave the market D. Demand will decrease