Which of the Following Is TRUE for the Perfectly Competitive

question 127

Multiple Choice

Which of the following is TRUE for the perfectly competitive firm?

• A) Price and MR are always equal.
• B) AR is less than price.
• C) AR is more than price.
• D) Price elasticity of demand is equal to 1.

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Definitions:

Hypothetical Proposition

A statement that presents a conditional scenario, often structured in an "if-then" format, used to explore logical outcomes.

Hypothetical Proposition

A statement that presents a supposition or conditional situation and its possible outcomes.

Consequent

The outcome or result in a conditional statement that logically follows from the antecedent, given the antecedent is true.

Hypothetical Proposition

A statement or proposition based on hypothesis rather than firm evidence, used in logical and philosophical arguments.