Why a firm in a competitive industry charge the market price

Reference no: EM13174507

Why does a firm in a competitive industry charge the market price?

a. If a firm charges less than the market price, it loses potential revenue.
b. If a firm charges more than the market price, it loses all its customers to other firms.
c. The firm can sell as many units of output as it wants to at the market price.
d. All of the above are correct.

Reference no: EM13174507

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