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A FIRM IN A COMPETITIVE MARKET MODEL TENDS

Question # 00580091
Subject: Economics
Topic: Microeconomics
Due on: 08/29/2017
Posted On: 08/29/2017 07:14 AM

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Competitive Market vs. Monopolisitc Pricing

A FIRM IN A COMPETITIVE MARKET MODEL TENDS TO MAKE ZERO ECONOMIC PROFITS WHEN CHARGING A PROFIT MAXIMIZING PRICE AND A MONOPOLIST HAS NO LIMIT TO THE AMOUNT OF PROFITS THAT CAN BE EARNED WHEN THEY CHARGE THE PROFIT MAXIMIZING PRICE.

WHY IS THAT?

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A FIRM IN A COMPETITIVE MARKET MODEL TENDS

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Posted On: 08/29/2017 07:15 AM
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