Which of the following statements regarding a competitive market is not correct?
A)There are many buyers and many sellers in the market.
B)Because of firm location or product differences, some firms can charge a higher price than other firms and still maintain their sales volume.
C)Price and average revenue are equal.
D)Price and marginal revenue are equal.

Question

Quizplus · Accepted Answer

In a competitive market, firms are price takers and cannot charge a higher price than others due to product differences or location, as products are homogeneous.

Which of the Following Statements Regarding a Competitive Market Is