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Answer to Question #71552 in Microeconomics for yusuf

Question #71552
Suppose that the price prevailing in competitive market rises, perhaps because of an increase in market demand, how a competitive firm responds to the price increase?
1
Expert's answer
2017-12-05T11:46:07-0500
With increasing prices in a competitive market, the competing company will begin to increase its supply of goods, that is, the company will begin to produce more goods.

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