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The development of market power by a firm is considered to be a market failure because firms with market power will

The development of market power by a firm is considered to be a market failure because firms with market power will
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The development of market power by a firm is considered to be a market failure because firms with market power will

User Pablo Figueroa
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The correct answer is that firms with market power will produce less and charge a higher price than what would be socially optimal.
User Suzane
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