-To maximise its profit, a perfectly competitive firm produces so that ________ and a single-price monopoly produces so that ________.

Question

Quizplus · Accepted Answer

In a perfectly competitive market, firms maximize profit by producing where marginal revenue (MR) equals marginal cost (MC). A single-price monopoly also maximizes profit by producing where MR equals MC, but faces a different demand curve.

-To Maximise Its Profit, a Perfectly Competitive Firm Produces So