As the quantity sold rises for a seller in imperfect competition, what happens to the difference between price and marginal revenue?

Question

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In imperfect competition, as the quantity sold increases, the seller must lower the price to sell more units. This means that the additional revenue gained from selling one more unit (marginal revenue) is less than the price at which the unit is sold. As more units are sold and the price continues to decrease, the gap between price and marginal revenue widens, making the difference larger.

As the Quantity Sold Rises for a Seller in Imperfect