If a firm in a perfectly competitive market faces a market price of $2, and it decides to increase its production from 2,000 units to 4,000 units, the firm's marginal revenue:

A. will increase from $4,000 to $8,000.
B. will stay the same.
C. will decrease from $8,000 to $4,000.
D. None of these is true.


Answer: B

Economics

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