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charle [14.2K]
2 years ago
6

How do profit and competition determine equilibrium price?

History
1 answer:
Leya [2.2K]2 years ago
5 0

Answer:Competitive equilibrium is achieved when profit-maximizing producers and utility-maximizing consumers settle on a price that suits all parties. At this equilibrium price, the quantity supplied by producers is equal to the quantity demanded by consumers.

Explanation:

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