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When Businesses Have Market Power,they Are Able to Charge a Price

Question 43

Multiple Choice

When businesses have market power,they are able to charge a price higher than the price charged by a business in perfect competition.Thus the market power equilibrium on a diagram will be


A) higher and to the right of the perfect competition equilibrium.
B) higher and to the left of the perfect competition equilibrium.
C) lower and to the right of the perfect competition equilibrium.
D) lower and to the left of the perfect competition equilibrium.

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