Price can be substituted for marginal revenue in the MR = MC rule when an industry...

 

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Price can be substituted for marginal revenue in the MR = MC rule when an industry is purely competitive because Oprice and MC are the same in pure competition. price minus cost equals MR. price is constant regardless of the quantity demanded. price is the same as average revenue. Price can be substituted for marginal revenue in the MR = MC rule when an industry is purely competitive because Oprice and MC are the same in pure competition. price minus cost equals MR. price is constant regardless of the quantity demanded. price is the same as average revenue.

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