If all firms in an industry have the same marginal cost, then each firm in that industry is producing the same number of goods.

Question

Quizplus · Accepted Answer

This statement is not necessarily true. Even if all firms have the same marginal cost, they may not all be producing the same number of goods. Other factors such as market demand and individual firm strategies can also influence the level of production.

If All Firms in an Industry Have the Same Marginal