Question: Where does MR = MC rule apply? A. Applies only to pure competition. B. Applies only to pure monopoly. C. Does not apply to pure

Where does MR = MC rule apply?

Equilibrium Quantity for which MR - MC MC MR > MC MR

A. Applies only to pure competition.
B. Applies only to pure monopoly.
C. Does not apply to pure monopoly because price exceeds marginal revenue.
D. Applies both to pure monopoly and pure competition.

Equilibrium Quantity for which MR - MC MC MR > MC MR < MC MR

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The correct answer is D Applies both to pure monopoly and pure competition Explanation 1 MR MC Rule ... View full answer

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