In the short run, a perfectly competitive firm maximizes profit at that point where the upward rising part of the MC curve intersects the MR curve. Fully explain in your own words why the other intersection point of MC and MR is not considered as a profit-maximizing point. (No need to include any graphs here)
In the short run, a perfectly competitive firm maximizes profit at that point where the upward rising part of the MC curve intersects the MR curve. Fully explain in your own words why the other intersection point of MC and MR is not considered as a profit-maximizing point. (No need to include any graphs here)
Chapter7: Perefect Competition
Section: Chapter Questions
Problem 12SQ
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In the short run, a
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