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in Economics by (63.7k points)

Why are the MR and AR of a perfectly competitive firm equal ?

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Because price of the good remains same at all levels of output due to the existence of a large number of firms and the firms produce and sell homogeneous product. 

Output Price TR AR
1 10 10 10
2 10 20 10
3 10 30 10
4 10 40 10
5 10 50 10

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