The suggestion that a seller will try to set price based on


The suggestion that a seller will try to set price based on “what the market will bear” is explicit recognition of the constraint imposed by:

a) the firm's marginal cost of production.

b) the need for most firms to earn positive economic profits over time if they are to remain in business.

c) the firm's competitors

d) the price elasticity of demand for that item

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Business Economics: The suggestion that a seller will try to set price based on
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