If an individual farmer in a perfectly competitive agricultural market raises her price above the market price,the farmer will
A)Not sell any product.
B)Earn greater total revenue.
C)See other farmers follow the price rise.
D)Earn greater total profit.

Question

Quizplus · Accepted Answer

In a perfectly competitive agricultural market, individual farmers do not have the power to raise prices above the market price because there are many other sellers offering the same product at the market price. If the individual farmer raises her price above the market price, she will not sell any product as buyers will choose to purchase from other farmers who offer the product at the market price.

If an Individual Farmer in a Perfectly Competitive Agricultural Market