A purely competitive firm does not try to sell more of its product by lowering its price below the market price because: Multiple Choice its competitors would not permit it. it can sell all it wants to at the market price. this would be considered unethical price chiseling. its demand curve is inelastic, so total revenue will decline.

A purely competitive firm does not try to sell more of its product by lowering its price below the market price because: Multiple Choice its competitors would not permit it. it can sell all it wants to at the market price. this would be considered unethical price chiseling. its demand curve is inelastic, so total revenue will decline.

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter22: Perfect Competition

Section: Chapter Questions

Problem 10QP

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